Sturm, Ruger & Company, Inc. ("Ruger" or the Company) is an American firearm manufacturing company.

The Complaint alleges that during the Class Period, Defendants made positive statements about the Company’s revenues and earnings. As alleged in the Complaint, these statements were materially false and misleading because Defendants misrepresented and/or failed to disclose the following adverse facts, among others: (i) that the reductions in inventory balances by Ruger in the first and second quarters of 2007 had reduced the Company’s parts and components inventories below efficient levels, preventing Ruger’s manufacturing units from meeting production and shipment schedules and resulting in the Company’s inability to sustain current or historical sales levels; (ii) that Ruger’s “backlog” of unfilled purchase orders was materially inflated because of the Company’s inability to meet current production and shipping schedules due to inventory shortages; (iii) that orders received from the Company’s independent distributors were artificially boosted by the Company’s mandated change to firm and noncancellable purchase order submissions and were not reflective of actual demand for the Company’s products; (iv) that Ruger’s independent distributors were carrying large quantities of the Company’s unsold products, increasing the risk that these distributors would reduce or curtail their future purchases; and (v) that based on the above, Defendants had no reasonable basis for their positive statements and opinions concerning Ruger’s current financial performance and condition.

The truth came out on October 24, 2007, when the Company announced that its firearm sales for the third quarter of 2007 fell 26%, resulting in a loss of $0.03 per share, and that sales had declined due to inventory issues at its distributors. Following this news, the price of Ruger’s common stock fell by $6.45 per share, closing at $10.65 per share– a one-day decline of more than 37% on volume of 4.1 million shares.

On January 13, 2010, an order of consolidation and appointment of lead Plaintiff and lead Counsel was approved by the Court.

On March 11, 2010, an amended consolidated Complaint was filed with the Court by the lead Plaintiffs against the Defendants.

On February 02, 2011, a ruling was issued by the Court denying the Defendants' motion to dismiss.

On May 31, 2012, the Court issued an Order granting the motion for preliminary approval of Settlement. On August 20, 2012, the Court issued an Order approving the class action settlement, plan of allocation, class certification, and awarding of attorneys' fees and expenses.

On August 20, 2012, the Court issued a Final Judgment and Order of Dismissal with Prejudice.