Case Page

 

Case Status:    DISMISSED    
On or around 11/20/2012 (Other)

Filing Date: August 16, 2012

According to the complaint, Alpha Natural is one of the largest coal suppliers in the United States, operating dozens of mines and several coal preparation plants throughout Northern and Central Appalachia and elsewhere. In addition to producing, processing, and selling its own coal, Alpha Natural also sells coal produced by others. Massey was also a large coal mining and producing company in the United States, especially in Central Appalachia. Massey produced, processed, and sold its own coal. One of Alpha Natural's largest and most important coal mines was its Emerald mine, located in southwestern Pennsylvania.

On or about January 28, 2011, Alpha Natural and Massey reached an agreement whereby Alpha Natural would acquire all outstanding shares of Massey common stock. Under the terms of the Merger, Massey shareholders would receive 1.025 shares of Alpha Natural common stock, plus an additional $10 per share of Massey common stock they owned. The Merger was completed on June 1, 2011.

The complaint alleges that prior to the Merger, Alpha Natural's Registration Statement and other documents made available to the public either did not disclose any problems at the Emerald mine at all, or significantly downplayed them. The Company did this despite the fact that it knew, or should have known, that the problems at Emerald would have a substantial, negative impact on Alpha Natural's business, revenues, and stock price.

As the extent of the Emerald mine problems became public, the price of Alpha
Natural common stock began to decline dramatically. On January 28, 2011, the date the planned Merger was announced, Alpha Natural common stock traded at $57.88 per share. On the date the Merger was completed, June 1, 2011, Alpha Natural common stock traded at $53.40 per share. By September 22, 2011, when the problems at the Emerald mine were widely public, Alpha Natural common stock was down to $19.80 per share. The stock has continued its dramatic descent and was recently trading at approximately $7.50 per share. This represents a total decline of approximately eighty-seven percent.

On October 18, 2012, the Plaintiffs filed a Notice voluntarily dismissing this action without prejudice as to certain defendants.

On November 5, 2012, the Court issued an Order granting the plaintiff's Motion to Remand, and this case was ordered Remanded to the Circuit Court of Boone County.

COMPANY INFORMATION:

Sector: Energy
Industry: Coal
Headquarters: United States

SECURITIES INFORMATION:

Ticker Symbol: ANR
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: S.D. West Virginia
DOCKET #: 12-CV-04377
JUDGE: Hon. John T. Copenhaver, Jr.
DATE FILED: 08/16/2012
CLASS PERIOD START: 06/01/2011
CLASS PERIOD END: 06/01/2011
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. McCamic, Sacco & McCoid, PLLC
    56 Fourteenth Street, McCamic, Sacco & McCoid, PLLC, WV 26003
    304.907.0601 304.232.3548 ·
  2. Scott & Scott LLP (Ohio)
    12434 Cedar Road, Suite 12, Scott & Scott LLP (Ohio), OH 44106
    216.229.6088 216.229.6088 · scottlaw@scott-scott.com
  3. The Wooton Law Firm
    201 N. Kanawha St., The Wooton Law Firm, WV 25801
    304.225.2188 304.255.2189 ·
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