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Case Status:    DISMISSED    
On or around 07/18/2013 (Stipulation and order of dismissal (voluntary dismissal))

Filing Date: August 16, 2012

According to the law firm press release, Chipotle develops and operates “fast-casual,” fresh Mexican food restaurants in the United States, Canada, the United Kingdom and France.

The complaint alleges that during the Class Period, defendants issued materially false and misleading statements regarding the Company’s business and prospects. As a result of defendants’ false statements, Chipotle stock traded at artificially inflated prices during the Class Period, reaching a high of $440.40 per share on April 13, 2012.

On July 19, 2012, Chipotle issued a press release announcing its second quarter 2012 earnings results, reporting disappointing revenue results and cautious guidance for the year. As a result of this news, Chipotle stock plunged $86.88 per share to close at $316.98 per share on July 20, 2012, a decline of 22% on volume of 9.8 million shares. This was the largest one-day stock decline in the Company’s history.

According to the complaint, the true facts, which were known by the defendants but concealed from the investing public during the Class Period, were as follows: (a) Chipotle’s did not have the pricing power to implement price increases sufficient to offset rising food costs and, as a result, the Company’s margins would be under pressure as Chipotle would be unable to pass these commodity costs off to the consumers; (b) demand for Chipotle was slowing due to the economy and increased competition and could not support the Company’s aggressive 2012 earnings forecasts; and (c) Chipotle was experiencing a deceleration of growth as it was becoming a mature company.

On April 17, 2013, the Court issued an Order consolidating cases, appointing lead plaintiffs, and approving the selection of lead counsel.

On June 20, 2013, plaintiff City of Dania Beach Police & Firefighters’ Retirement System filed a Notice voluntarily dismissing its claims without prejudice. The city's counsel also withdrew from this action.

On July 3, 2013, the parties entered into a Stipulation voluntarily dismissing this case.

COMPANY INFORMATION:

Sector: Services
Industry: Restaurants
Headquarters: United States

SECURITIES INFORMATION:

Ticker Symbol: CMG
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: D. Colorado
DOCKET #: 12-CV-02164
JUDGE:
DATE FILED: 08/16/2012
CLASS PERIOD START: 02/01/2012
CLASS PERIOD END: 07/19/2012
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Dyer & Berens LLP
    303 East 17th Avenue, Suite 300, Dyer & Berens LLP, CO 80203
    303.861.1764 303.861.1764 ·
  2. Robbins Geller Rudman & Dowd LLP (San Diego)
    655 West Broadway, Suite 1900, Robbins Geller Rudman & Dowd LLP (San Diego), CA 92101
    619.231.1058 619.231.7423 ·
  3. Sugarman & Susskind
    100 Miracle Mile, Suite 300, Sugarman & Susskind, FL 33134
    305/529-2801 305/447-8115 ·
No Document Title Filing Date