BERKELEY, Calif., Dec. 12, 2011 /PRNewswire/ -- Hagens Berman reminds investors that only 25
days remain before the Jan. 6, 2012
lead plaintiff deadline in a case filed against Diamond Foods
(NASDAQ: DMND) ("the Company") alleging violations of the federal
securities laws.
At the same time it has intensified its investigation amid
Monday's announcement by the Company that the Audit Committee's
investigation is not expected to be complete until February and
published reports that at least three Walnut growers were told that
payments made after Diamond's July 31
year end were for 2010 crops – not 2011. As a result of the
continuing investigation, Diamond will miss filing its financial
statements and expects to be told by Nasdaq that it is not
incompliance with listing rules.
Investors with over $500,000 in
losses who purchased Diamond Foods common stock between
Dec. 9, 2010 and Nov. 4, 2011 (the "class period") are encouraged
to contact the firm to discuss participation in the class action as
a lead plaintiff. Partner Reed R.
Kathrein is leading the investigation and can be reached at
(510) 725-3000 or by email at DMND@hbsslaw.com.
More information is also available at
www.hbsslaw.com/diamondfoods.
On Nov. 1, 2011, Diamond Foods
announced that it was postponing its acquisition of Pringles, which
it had previously told investors would be completed by Dec. 2011. The company postponed the acquisition
in order to investigate possible improper accounting of payments to
walnut growers.
Since the announcement of the delayed acquisition, DMND common
stock has fallen dramatically, from nearly $65.00 per share on Nov.
1, 2011, to less than $30.00
per share on Dec 1, 2011.
"We will continue to investigate this matter to determine if
DMND misled its shareholders regarding the company's financial
condition and future," said Mr. Kathrein.
Persons with knowledge that may help the investigation are
encouraged to contact the firm. The SEC recently finalized new
rules as part of its implementation of the whistleblower provisions
in the Dodd-Frank Wall Street Reform Bill. The new rules protect
whistleblowers from employer retaliation and allow the SEC to
reward those who provide information leading to a successful
enforcement with up to 30 percent of the recovery.
About Hagens Berman
Seattle-based Hagens Berman Sobol
Shapiro LLP is an investor-rights class-action law firm with
offices in 10 cities. In addition to investors, the firm represents
whistleblowers, workers and consumers in complex litigation. More
about the law firm and its successes can be found at
www.hbsslaw.com. The firm's securities law blog is at
www.meaningfuldisclosure.com.
Media Contact: Mark Firmani,
Firmani + Associates Inc., 206.443.9357 or mark@firmani.com
SOURCE Hagens Berman