Case Page

 

Case Status:    DISMISSED    
On or around 01/15/2010 (Court's order of dismissal)

Filing Date: December 19, 2007

According to a press release dated December 19, 2007, the complaint charges Huntington and certain of its officers and directors with violations of the Securities Exchange Act of 1934. Huntington operates as the holding company for The Huntington National Bank (“Huntington National”), which provides retail and commercial financial products and services.

Specifically, the complaint alleges that during the Class Period, defendants issued materially false and misleading statements regarding the Company’s business and financial results. Huntington had acquired more than $1.5 billion in exposure to subprime mortgages with its July 2007 acquisition of Sky Financial Group, Inc. (“Sky Financial”). As the real estate and credit markets continued to soften, defendants repeatedly assured Huntington investors that the Company had undertaken significant preparations and implemented defensive measures to weather the deteriorating real estate and credit markets. By the time Huntington closed the merger with Sky Financial, the housing and credit crisis had deepened, yet defendants continued to conceal Huntington’s growing exposure to these problems so as to not acknowledge the acquisition was a debacle so soon after it closed. As a result of defendants’ false statements, Huntington stock traded at an artificially inflated price of approximately $18 per share during much of the Class Period.

Then, on November 16, 2007, Huntington announced its fourth quarter 2007 financial results, stating that as a result of the recently announced actions of Franklin Credit Management Corporation, which had a commercial lending relationship with Sky Financial, and related deterioration in Franklin’s mortgage portfolios, 2007 fourth quarter results for Huntington were expected to include an after-tax charge of up to $300 million, or $0.81 per common share. As a result of this charge, Huntington would report a 2007 fourth quarter net loss.

On this news, Huntington’s stock dropped from $16.08 per share to as low as $14.38 per share, closing at $14.75 per share on November 16, 2007 on volume of over 10 million shares.

According to the complaint, the true facts, which were known by defendants but concealed from the investing public during the Class Period, were as follows: (a) the Company had far greater exposure to anticipated losses and defaults in its home loan portfolio, particularly with subprime debt exposure arising from Sky Financial, than it had previously disclosed; and (b) defendants’ Class Period statements about the Company’s financial results were materially false due to its failure to record timely and adequate accruals for losses on its exposure to delinquent subprime mortgages.

On June 24, 2009, an order consolidating the cases, appointing lead plaintiff and lead counsel was filed with the court in this ongoing action.

On August 22, 2009, a consolidated class action against all defendants, filed by all plaintiffs was entered into this docket.

On December 4, 2009, it was ordered and adjudged that pursuant to the Opinion and Order, Defendants’ motion to dismiss was GRANTED; dismissing all of Plaintiffs’ claims with prejudice. A subsequent judgment was entered in the docket on the same day.

COMPANY INFORMATION:

Sector: Financial
Industry: Regional Banks
Headquarters: United States

SECURITIES INFORMATION:

Ticker Symbol: HBAN
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: S.D. Ohio
DOCKET #: 07-CV-01276
JUDGE: Hon. Michael H. Watson
DATE FILED: 12/19/2007
CLASS PERIOD START: 07/20/2007
CLASS PERIOD END: 11/16/2007
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Coughlin Stoia Geller Rudman & Robbins LLP (Florida)
    197 S. Federal Highway, Suite 20, Coughlin Stoia Geller Rudman & Robbins LLP (Florida), FL 33432
    561-750-3000 561-750-3364 · info@csgrr.com/
  2. Coughlin Stoia Geller Rudman & Robbins LLP (San Diego)
    655 West Broadway, Suite 1900, Coughlin Stoia Geller Rudman & Robbins LLP (San Diego), CA 92101
    619.231.1058 619.231.7423 · info@csgrr.com/
  3. Schiffrin Barroway Topaz & Kessler, LLP (Radnor)
    280 King of Prussia Road, Schiffrin Barroway Topaz & Kessler, LLP (Radnor), PA 19087
    610.667.7706 610.667.7056 · info@sbtklaw.com
  4. Strauss & Troy
    The Federal Reserve Building, 150 East Fourth Street, Strauss & Troy, OH 45202-4018
    513.621.2120 513.241.8250 · wlwoods@strauss-troy.com
  5. Wolf Haldenstein Adler Freeman & Herz LLP (New York)
    270 Madison Avenue, Wolf Haldenstein Adler Freeman & Herz LLP (New York), NY 10016
    212.545.4600 212.686.0114 · newyork@whafh.com
No Document Title Filing Date
COURT: S.D. Ohio
DOCKET #: 07-CV-01276
JUDGE: Hon. Michael H. Watson
DATE FILED: 08/22/2008
CLASS PERIOD START: 07/19/2007
CLASS PERIOD END: 11/16/2007
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Coughlin Stoia Geller Rudman & Robbins LLP (Boca Raton)
    120 East Palmetto Park Road, Suite 500, Coughlin Stoia Geller Rudman & Robbins LLP (Boca Raton), FL 33432
    561.750.3000 561.750.3000 ·
  2. David P. Meyers and Associates, LPA
    1320 Dublin Road; Suite 100, David P. Meyers and Associates, LPA, OH 43215
    866.827.6537 614.224.6066 · info@dmlaws.com
No Document Title Filing Date
No Document Title Filing Date