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Case Status:    DISMISSED    
On or around 03/25/2011 (Court's order of dismissal)

Filing Date: December 13, 2007

The original complaint charges Smith & Wesson and certain of its officers and directors with violations of the Securities Exchange Act of 1934. Smith & Wesson, through its subsidiary, Smith & Wesson Corp., manufactures handguns in the United States. The company produces firearms, including revolvers, black powder fire arms, pistols, rifles, and handcuffs.

The complaint alleges that, during the Class Period, defendants issued statements concerning the Company's performance and prospects. As alleged in the Complain, these statements were materially false and misleading because they failed to disclose and misrepresented the following material adverse facts which were known to Defendants or recklessly disregarded by them: (i) that the market for various lines of the Company' s gun products was saturated with inventory which was causing customers to reduce orders and postpone purchases; (ii) that the Company' s reported sales figures did not represent true growth for the Company' s products but rather were simply inventory stocking transactions and as customer inventory levels increased, the Company' s sales would suffer; and (iii) based on the foregoing, Defendants lacked a reasonable basis for their positive statements about the Company, its earnings and prospects.

On October 29, 2007, Smith & Wesson issued a press release announcing its preliminary second quarter financial results for the period ending October 31, 2007. Among other things, the Company reduced its earnings guidance for fiscal 2008 to $23.5 million, or $0.53 per share, as compared to $28.5 million, or $0.63 per share. In response to this announcement, the price of Smith & Wesson common stock plummeted from $20.09 per share to $12.12 per share on extremely heavy trading volume. Then, on December 6, 2007, Smith & Wesson issued a press release announcing its financial results for its second fiscal quarter, the period ending October 31, 2007. The Company again reduced its outlook for 2008 to $0.40 per share. In response to this announcement, on December 7, 2007, the price of Smith & Wesson common stock plummeted from $9.92 per share to $7.08 per share on extremely heavy trading volume.

On April 15, 2008, the Court granted the motions to consolidate the actions, appointed the Oklahoma Firefighters Pension and Retirement System as lead plaintiff and approved lead plaintiff’s selection of Berman DeValerio Pease Tabacco Burt & Pucillo as lead counsel. On May 30, 2008, the lead plaintiff filed a Consolidated Class Action Complaint. The defendants responded by filing a motion to dismiss the Consolidated Class Action Complaint on August 8, 2008. On March 26, 2009, Judge Michael A. Ponsor denied the motion as to all the other defendants, but allowed the motion for one individual defendant.

On October 13, 2009, the plaintiff filed a motion to certify the class, and on May 11, 2010, Judge Ponsor certified the class. On October 29, 2010, the defendants filed a motion for summary judgment. On November 22, 2010, the plaintiffs filed a Cross-Motion For Partial Summary Judgment.

On March 25, 2011, Judge Michael A. Ponsor granted the defendants' motion for summary judgment, and denied the plaintiffs' cross motion for partial summary judgment. Judgment was entered that same day and the civil case was terminated.

COMPANY INFORMATION:

Sector: Capital Goods
Industry: Aerospace & Defense
Headquarters: United States

SECURITIES INFORMATION:

Ticker Symbol: SWHC
Company Market: NASDAQ
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: D. Massachusetts
DOCKET #: 07-CV-30238
JUDGE: Hon. Michael A. Ponsor
DATE FILED: 12/13/2007
CLASS PERIOD START: 06/15/2007
CLASS PERIOD END: 12/06/2007
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Coughlin Stoia Geller Rudman & Robbins LLP (NY)
    200 Broadhollow Road, Suite 406, Coughlin Stoia Geller Rudman & Robbins LLP (NY), NY 11747
    631-367-7100 631-367-1173 · info@csgrr.com/
  2. Shapiro Haber & Urmy LLP (Boston)
    53 State Street, Shapiro Haber & Urmy LLP (Boston), MA 02109
    617.439.3939 617.439.0134 · info@shulaw.com
No Document Title Filing Date
COURT: D. Massachusetts
DOCKET #: 07-CV-30238
JUDGE: Hon. Michael A. Ponsor
DATE FILED: 05/30/2008
CLASS PERIOD START: 06/14/2007
CLASS PERIOD END: 12/06/2007
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Berman DeValerio Pease Tabacco Burt & Pucillo (MA)
    One Liberty Square, Berman DeValerio Pease Tabacco Burt & Pucillo (MA), MA 2109
    617.542.8300 617.230.0903 · info@bermanesq.com
No Document Title Filing Date
No Document Title Filing Date