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Case Status:    SETTLED
On or around 04/10/2012 (Date of order of distribution of settlement)

Filing Date: July 24, 2009

According to a press release dated July 24, 2009, the complaint charges Skilled Healthcare and certain of its officers and directors violated the federal securities laws by misrepresenting the true amount of its income in its IPO prospectus and in other SEC filings and public communications. In an announcement dated June 9, 2009, Skilled Healthcare announced that the Company's prior financial statements for the annual and quarterly periods between January 1, 2006 and March 31, 2009 should no longer be relied upon and that the Company expected to restate those financial statements. According to the announcement, Skilled Healthcare discovered errors relating to its accounting for reserves on its accounts receivable. The Company estimated that the cumulative charges against after-tax earnings in the aggregate would be between $8 million and $9 million. The Complaint alleges that this adverse disclosure caused the value of Skilled Healthcare's stock to fall, damaging investors.

On Novemeber 10, 2009, an order re: appointment of lead plaintiff and lead counsel; filing of amended complaint and defendants’ response thereto was entered into the court’s docket.

On August 30, 2010, a Stipulation Of Settlement was filed Subject to the approval of the Court, the Stipulation is intended by the Settling Parties to fully, finally, and forever resolve, discharge, and settle the Litigation and Released Claims, upon and subject to the terms and conditions hereof.

On September 13, 2010, the Court issued an Order Preliminarily Approving Settlement and Providing for Notice of Proposed Settlement in this action.

According to the Company's Form 10-K For the Fiscal Year Ended December 31, 2010, in September 2010, the parties reached a settlement in the amount of $3.0 million. The Company contributed the portion of its $1.0 million insurance retention that it had not incurred in legal fees ($0.5 million), and its insurance carriers contributed the balance of the $3.0 million. The District Court entered an order granting final approval of the settlement in January 2011.

COMPANY INFORMATION:

Sector: Healthcare
Industry: Healthcare Facilities
Headquarters: United States

SECURITIES INFORMATION:

Ticker Symbol: SKH
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: C.D. California
DOCKET #: 09-CV-05416
JUDGE: Hon. David O. Carter
DATE FILED: 07/24/2009
CLASS PERIOD START: 05/14/2007
CLASS PERIOD END: 06/09/2009
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Catanzarite Law Corporation
    2331 West Lincoln Avenue, Catanzarite Law Corporation, CA 92801
    714.520.5544 714.520.0680 · info@catanzarite.com
  2. The Rosen Law Firm, P.A. (New York)
    350 Fifth Avenue, Suite 5508, The Rosen Law Firm, P.A. (New York), NY 10118
    212.686.1060 212.202.3827 · lrosen@rosenlegal.com
No Document Title Filing Date
COURT: C.D. California
DOCKET #: 09-CV-05416
JUDGE: Hon. David O. Carter
DATE FILED: 01/12/2010
CLASS PERIOD START: 05/14/2007
CLASS PERIOD END: 06/09/2009
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Glancy Binkow & Goldberg LLP (Los Angeles)
    1801 Ave. of the Stars, Suite 311, Glancy Binkow & Goldberg LLP (Los Angeles), CA 90067
    310.201.915 310. 201-916 · info@glancylaw.com
  2. The Rosen Law Firm, P.A.
    333 South Grand Avenue, 25th Floor, The Rosen Law Firm, P.A., CA 90071
    213.785.2610 213.226-4684 ·
No Document Title Filing Date