According to the law firm press release, the complaint filed in this action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants made false and/or misleading statements and/or failed to disclose: (1) that the Company’s propane sales were declining; (2) that the Company’s midstream logistics business was being negatively impacted by low crude oil prices; (3) that, as such, the Company’s Adjusted EBITDA would fall below the Company’s projections; (4) that the Company was becoming more and more leveraged; (5) that, in response, the Company would need to obtain an amendment under the secured credit facility and accounts receivable securitization facility to increase the maximum leverage ratio to a range of 5.95x to 6.05x; (6) that, as a result of the foregoing, the Company would likely need to reduce its dividend; and (7) that, as a result of the foregoing, Defendants’ statements about Ferrellgas’ business, operations, and prospects were false and misleading and/or lacked a reasonable basis.
On January 19, 2017, the Court appointed Lead Plaintiffs and Counsel. Lead Plaintiff filed an amended Complaint on March 21. Defendants filed a Motion to Dismiss the amended Complaint on May 19. On March 30, 2018, the Court issued an Order granting Defendants' Motion to Dismiss, closing the case. Lead Plaintiffs filed a Notice appealing the Court's decision on April 30. On May 15, 2019, the Court of Appeals affirmed the judgment of the District Court.