Wabash National Corporation - Securities Class Action

Company and Case Information

IMPORTANT INFORMATION | INDEX OF FILINGS | SEARCH

Home

Index of Filings

News and Press Releases

Filings

Decisions

Settlements

Litigation Activity Indices

Top Ten List

Annual/Quarterly Updates

Clearinghouse Research

Articles & Papers

Search

Related Sites

About Us

Local Rules

Sponsors

Register

_______________
Copyright (c) 2001
Stanford Law School

Wabash National Corporation Conclusion: On March 6, 2002, the Court entered the Order by U.S. District Judge Allen Sharp granting the motion to approve distribution of the settlement fund. Garden City Group Inc. was awarded $89,970.32 in fees and reimbursement of expenses for processing the claims, administering the Settlement and filing the required Federal and State tax returns. Earlier, on December 4, 2001, Judge Allen Sharp dismissed the case with prejudice and without costs. Plaintiffs’ counsel was awarded fees in the amount of $25,000.00 or 5% of the Settlement Fund, plus reimbursement of expenses in the amount of $124,000.00 with interest. Class Representatives Jaime Vizcaino, Barry Silverberg and Khader Hamide were awarded $2,500.00 each, paid out of the Settlement Fund. The Stipulation of Settlement dated September 25, 2001, was preliminarily approved by Judge Sharp on October 1, 2001.

In late 1997, the Company converted its manufacturing information systems. The conversion of Wabash's manufacturing information systems impacted its ability to determine its inventory costs on an interim basis during the first nine months of 1998. Although the defendants knew that the conversion made the Company unable to determine its inventory costs, they knowingly or recklessly implemented the conversion rather than admit the problem or implement a more conservative and accurate interim method of inventory control. Indeed, the Company's Chief Executive Officer was reported to have admitted that "for a while we were flying partially blind." On January 19, 1999, the Company finally admitted to the investing public that its new manufacturing information systems caused the Company to misrepresent its financial statements for the first, second, and third quarters of fiscal 1998, and that Wabash would file restated financial statements for those periods with the United States Securities and Exchange Commission. The restated financials revealed a reduction of approximately 20% in earnings over the nine month period. The Company also admitted that it had underreported the cost of sales and had overstated gross profits, income before taxes, net income and earnings per share in its earlier financials. The Complaint alleges that the false and misleading financial statements were knowingly or recklessly made by defendants during the Class Period in violation of Generally Accepted Accounting Principles; and, moreover, that these knowing or reckless misstatements of material facts artificially inflated the price of Wabash common stock throughout the Class Period. During the Class Period, Wabash common stock traded as high as $31 per share. On the last trading day before the January 19, 1999 announcement, the price of Wabash shares closed at $20 per share. After the announcement, the price of Wabash common stock fell to a closing average price of $15 15/16 per share, a loss of 20% of the value of the stock.

INDUSTRY CLASSIFICATION:
SIC Code: 3715
Sector: Consumer Cyclical
Industry: Auto & Truck Manufacturers

COMPANY/ISSUER NAME:	Wabash National Corporation
COMPANY/ISSUER TICKER:	WNC
COMPANY WEBSITE:	http://www.wabashnational.com

FIRST IDENTIFIED COMPLAINT IN THE DATABASE

John R. Hansel, et al. v. Wabash National Corp., et al.

COURT: N.D. Indiana	DOCKET NUMBER: 99-CV-00003
JUDGE NAME: Hon. Allen Sharp
DATE FILED: 01/22/1999	SOURCE: Business Wires
CLASS PERIOD START: 04/20/1998	CLASS PERIOD END: 01/15/1999
TYPE OF COMPLAINT: Unamended/Unconsolidated
PLAINTIFF FIRMS IN THIS OR SIMILAR CASE:
Amer Cunningham Brennan Co., L.P.A. 159 Main Street, 6th Floor, The Key Building, Akron, OH, 44308 (voice) 330.762.2411, (fax) , Catanzarite Law Corporation 2331 West Lincoln Avenue, Anaheim, CA, 92801 (voice) 714.520.5544, (fax) 714.520.0680, info@catanzarite.com Kenneth A. Elan 30 North LaSalle Street, Suite 3200, Chicago , IL, 60602 (voice) 312782.4880, (fax) , mmiller@millerfauchner.com Lionel Z. Glancy 1801 Avenue of the Stars Suite 308, Los Angeles, CA, 90067 (voice) 310.201.9150, (fax) , Meade Law Office , , , (voice) , (fax) , Pomerantz Haudek Block Grossman & Gross LLP 100 Park Avenue, 26th Floor, New York, NY, 10017-5516ven (voice) 212.661.1100, (fax) 212.661.8665, info@pomerantzlaw.com/ _____________________________________________ TOTAL NUMBER OF PLAINTIFF FIRMS: 6

DOCUMENTS FOR THE FIRST IDENTIFIED COMPLAINT
Securities Fraud Class Action Complaint
Type: Complaint		Date on the document: 01/22/1999
CIVIL DOCKET FOR CASE #: 99-CV-3
Type: Docket		Date on the document: 03/11/1999

REFERENCE COMPLAINT

In Re: Wabash National Corp. Securities Litigation

COURT: N.D. Indiana	DOCKET NUMBER: 99-CV-00003
JUDGE NAME: Hon. Allen Sharp
DATE FILED: 07/06/1999	SOURCE: Business Wires
CLASS PERIOD START: 04/20/1998	CLASS PERIOD END: 01/15/1999
TYPE OF COMPLAINT: Consolidated and/or Amended
PLAINTIFF FIRMS NAMED IN COMPLAINT:
Lionel Z. Glancy 1801 Avenue of the Stars Suite 308, Los Angeles, CA, 90067 (voice) 310.201.9150, (fax) , Pomerantz Haudek Block Grossman & Gross LLP 100 Park Avenue, 26th Floor, New York, NY, 10017-5516ven (voice) 212.661.1100, (fax) 212.661.8665, info@pomerantzlaw.com/ _____________________________________________ TOTAL NUMBER OF PLAINTIFF FIRMS: 2

DOCUMENTS FOR THE REFERENCE COMPLAINT
U.S. District Court Civil Docket
Type: Docket		Date on the document: 03/04/2003

OTHER DOCUMENTS

Case Name and/or Number:
Type:		Date on the document:

WARNING AND DISCLAIMER OF LIABILITY:
The information included on this Web site, whether provided by personnel employed by Stanford Law School or by third parties, is provided for research and teaching purposes only. Neither Stanford University, Stanford Law School, nor any of their employees, agents, contractors, or affiliates warrant the accuracy or completeness of the information or analyses displayed herein, and we caution all readers that inclusion of any information on this site does not constitute an endorsement of the truthfulness or accuracy of that information. In particular, this Web site contains complaints and other documents filed in federal and state courts, which make allegations that may or may not be accurate. No reader should, on the basis of information contained in or referenced by this Web site, assume that any of these allegations are truthful.

Go to Search page | Go to Case Index page | Back to Top

�