Foot Locker is an athletic shoe and apparel retailer.
According to the law firm press release, the complaint alleges that during the Class Period, Defendants made materially false and misleading statements and/or failed to disclose material adverse information regarding Foot Locker’s business and prospects, including that Foot Locker’s vendors were transitioning to selling through various online retailers, diminishing the utility of Foot Locker’s large number of brick and mortar stores and the once-high value of its exclusivity relationships with those vendors, and that competition with online retailers had increased the pricing competition Foot Locker faced while also materially lowering the demand at Foot Locker stores. As a result of defendants’ failure to disclose this adverse information, the price of Foot Locker stock was artificially inflated to as high as $79.20 per share during the Class Period and Foot Locker senior executives, including the individuals defendants, were able to sell over 192,000 shares of their personally held Foot Locker stock at artificially inflated prices for gross proceeds of $13.3 million.
Plaintiff filed an amended Complaint on May 3, 2018. On June 25, the Court issued an Order appointing Lead Plaintiff and Counsel.