Case Page

 

Case Status:    DISMISSED    
On or around 09/26/2008 (Court's order of dismissal)

Filing Date: July 17, 2002

On September 26, 2008 the judge entered a Memorandum and Order dismissing with prejudice the claims in the Second Consolidated Amended complaint. Plaintiffs filed a Notice of Appeal on November 7, 2008.

On October 27, 2006, the United States Court of Appeals for the Second Circuit issued a mandate reversing the lower court's order of dismissal without prejudice, granting plaintiff's leave to file a Second Amended complaint. Plaintiffs did so on January 11, 2007. Defendants filed a motion to strike the Second Amended Complaint on March 9, 2007 with a hearing for oral arguments scheduled for July 11, 2007.

According to the Company’s FORM 10-K for the fiscal year ended December 31, 2005, beginning in mid-July 2002, 12 putative class action lawsuits were filed in the United States District Court for the Southern District of New York. In October 2002, these cases were consolidated under the caption In re American Express Company Securities Litigation. On March 31, 2004, the Court granted the Company’s motion to dismiss the lawsuit. Plaintiffs have appealed the dismissal to the United States Court of Appeals for the Second Circuit.

The original lawsuit asserts claims under Sections 10(b) and 20(a) of the Securities
Exchange Act of 1934 and Rule 10b-5 promulgated by the SEC thereunder and seeks to recover damages.The complaint alleges that American Express and certain of its officers and directors made misstatements and omissions of material fact, including failing to disclose that American Express was investing in a risky portfolio of high-yield or "junk" bonds with ratings as low as "single-B" that carried the
potential for substantial losses if default rates in the junk bond market increased, failing to disclose the true extent of American Express's total exposure as a result of the foregoing after American Express wrote down $182 million of its junk bond portfolio in April 2001, and failing to disclose that American Express was taking a substantial and unnecessary risk by investing in high-yield securities involving complex risk factors that American Express management and personnel did not fully comprehend. The complaint further alleges that after the full truth regarding American Express's unnecessarily risky and imprudent investment strategy began to become known to the market on July 18, 2001 when American Express announced a surprise charge against earnings of $826 million, its third consecutive write-down of
high-yield or "junk" bonds, American Express stock traded as low as $37.17,
down from a class period high of over $62.00.

COMPANY INFORMATION:

Sector: Financial
Industry: Consumer Financial Services
Headquarters: United States

SECURITIES INFORMATION:

Ticker Symbol: AXP
Company Market: New York SE
Market Status: Public (Listed)

About the Company & Securities Data


"Company" information provides the industry and sector classification and headquarters state for the primary company-defendant in the litigation. In general, "Securities" information provides the ticker symbol, market, and market status for the underlying securities at issue in the litigation.

In most cases, the primary company-defendant actually issued the securities that are the subject of the litigation, and the securities information and company information relate to the same entity. In a small subset of cases, however, the primary company-defendant is not the issuer (for example, cases against third party brokers/dealers), and the securities information and company information do not relate to the same entity.
COURT: S.D. New York
DOCKET #: 02-CV-5533
JUDGE: Hon. Richard M. Berman
DATE FILED: 07/17/2002
CLASS PERIOD START: 07/18/1999
CLASS PERIOD END: 07/17/2001
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Bernstein Liebhard & Lifshitz, LLP (New York)
    10 E. 40th Street, 22nd Floor, Bernstein Liebhard & Lifshitz, LLP (New York), NY 10016
    800.217.1522 · info@bernlieb.com
  2. Cauley Geller Bowman Coates & Rudman LLP (Little Rock, AR)
    P.O. Box 25438, Cauley Geller Bowman Coates & Rudman LLP (Little Rock, AR), AR 72221-5438
    501.312.8500 501.312.8505 ·
  3. Law Offices of Charles J. Piven, P.A.
    World Trade Center-Baltimore,401 East Pratt Suite 2525, Law Offices of Charles J. Piven, P.A., MD 21202
    410.332.0030 · pivenlaw@erols.com
  4. Leo W. Desmond
    2161 Palm Beach Lakes Boulevard, Suite 204, Leo W. Desmond, FL 33409
    561.712.8000 561.712.8000 · stocklaw@bellsouth.net
  5. Lovell Stewart Halebian LLP (former New York)
    500 Fifth Avenue, Lovell Stewart Halebian LLP (former New York), NY 10110
    212.608.1900 212.719.4677 · info@lshllp.com
  6. Paskowitz & Associates
    60 East 42nd Street, 46th Floor, Paskowitz & Associates, NY 10165
    212.685.0969 212.685.2306 · classattorney@aol.com
  7. Rabin & Peckel LLP
    275 Madison Avenue, 34th Floor, Rabin & Peckel LLP, NY 10016
    212.682.1818 212.682.1892 · email@rabinlaw.com
  8. Weiss & Yourman (New York, NY)
    The French Building, 551 Fifth Ave., Suite 1600, Weiss & Yourman (New York, NY), NY 10126
    212.682.3025 212.682.3010 · info@wyca.com
No Document Title Filing Date
COURT: S.D. New York
DOCKET #: 02-CV-5533
JUDGE: Hon. Richard M. Berman
DATE FILED: 01/11/2007
CLASS PERIOD START: 07/26/1999
CLASS PERIOD END: 07/17/2001
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Lovell Stewart Halebian LLP (former New York)
    500 Fifth Avenue, Lovell Stewart Halebian LLP (former New York), NY 10110
    212.608.1900 212.719.4677 · info@lshllp.com
  2. Milberg Weiss & Bershad LLP (New York)
    One Pennsylvania Plaza, 49th Floor, Milberg Weiss & Bershad LLP (New York), NY 10119
    212.594.5300 212.868.1229 · info@milbergweiss.com
No Document Title Filing Date
No Document Title Filing Date