Plaintiff's law firm issued a press release on July 17, 2018, announcing to the lawsuit. According to the press release, National Beverage, through its subsidiaries, develops, produces, markets, and sells a portfolio of flavored beverage products in North America and internationally. The Company offers beverages to the active and health-conscious consumers, including sparkling waters under the LaCroix, LaCroix Cúrate, LaCroix NiCola, and Shasta Sparkling Water brand names. It serves retailers, as well as various up-and-down-the-street accounts through the take-home, convenience, and food-service distribution channels. The Company sells and markets its products through an internal sales force, as well as specialized broker networks.
The Complaint alleges that throughout the Class Period, Defendants made materially false and misleading statements regarding the Company’s business, operational and compliance policies. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) National Beverage’s sales claims and the supposed underlying “proprietary techniques” lacked a verifiable basis; (ii) National Beverage’s Chairman and Chief Executive Officer (“CEO”) engaged in a pattern of sexual misconduct between 2014 and 2016; and (iii) as a result, National Beverage’s public statements were materially false and misleading at all relevant times.
On October 12, 2018, the Court issued an Order appointing Lead Plaintiff and Counsel. Lead Plaintiff filed a consolidated amended Complaint on November 2. Defendants filed a Motion to Dismiss the consolidated amended Complaint on December 2. On August 29, 2019, the Court issued an Order granting Defendants' Motion to Dismiss. On September 20, the Court entered Final Judgment in favor of the Defendants. Lead Plaintiff filed a notice appealing the Court's Dismissal Order on October 16.