According to the Complaint, Sleep Number Corporation, together with its subsidiaries, provides sleep solutions and services in the United States. The Company is best known for its smart beds which employ the Company’s technology to automatically adjust the mattress’s firmness, comfort and support as one sleeps.

The Complaint alleges that, throughout the Class Period, Defendants made false and misleading statements and failed to disclose that: (i) Sleep Number had suffered a severe disruption in its supply chain for foam as a result of Winter Storm Uri; (ii) Sleep Number did not have in place the supply chain flexibility, redundancies, and fail-safes, as had been represented to investors, sufficient to offset the foam supply disruption caused by Winter Storm Uri; (iii) because foam was a necessary component for Sleep Number’s production of its primary mattress products, Sleep Number’s ability to timely fulfill customer orders had been materially impaired; (iv) thus, Sleep Number was unable to meet surging customer demand for Sleep Number’s products; and (v) that, as a result, Sleep Number had been forced to delay mattress shipments to end consumers, pushing millions of dollars’ worth of sales into subsequent quarters and negatively impacting Sleep Number’s financial results.

On May 20, 2022, the Court issued an Order appointing Co-Lead Plaintiffs and Counsel. Lead Plaintiffs filed an amended Complaint on July 19. Defendants filed a Motion to Dismiss the amended Complaint on September 19.

On July 10, 2023, the Court issued an Order granting Defendants' Motion to Dismiss. The case was dismissed with prejudice.