According to the Complaint, Constellation Brands, Inc., together with its subsidiaries, produces, imports, markets, and sells beer, wine, and spirits in the United States, Canada, Mexico, New Zealand, and Italy. The Company provides its products to wholesale distributors, retailers, on-premise locations, and state alcohol beverage control agencies. This class action was filed against the Company and two of its Officers.

During the Class Period, Defendants provided investors with material information concerning Constellation’s full year 2024 fiscal results and financial outlook for 2025. The outlook for 2025 depended upon Defendants’ efforts to improve product mix, inventory, and sales execution in its Wine and Spirits business, specifically focusing efforts within its premium and above brands to drive more consistent growth. These efforts also included investments in media spend and price promotions as well as adjustments in sales capabilities to support distributor partners.

The Complaint alleges Defendants provided these overwhelmingly positive statements to investors while, at the same time, disseminating materially false and misleading statements and/or concealing material adverse facts concerning Constellation’s ability to deliver increased profitability, specifically in its Wine and Spirits division, causing Plaintiff and other shareholders to purchase Constellation’s securities at artificially inflated prices.

On May 28, 2025, the Court issued an Order appointing Lead Plaintiff and Counsel. Lead Plaintiff filed an Amended Complaint on July 17.