International Game Technology Investor Class Action Lawsuit Moves Forward
March 30, 2012 (Update) -- Settlement proposed. Approval hearing set for October 4, 2012. According to the Notice:
Securities and Time Period: IGT common stock (CUSIP No. 459902102); IGT options; and IGT 2.6% Notes due December 15, 2036 (CUSIP No. 459902AP7) purchased between November 1, 2007 and October 30, 2008, inclusive.
Settlement Fund: $12,500,000 in cash. Your recovery will depend on the number of IGT securities purchased between November 1, 2007 and October 30, 2008, inclusive, and the timing of your purchases and any sales. If claims are submitted for 100% of the eligible shares of IGT common stock, the estimated average recovery per share of common stock will be approximately $0.037 before deduction of Court-approved fees and expenses. The actual amount per share you could receive will depend on a number of factors that are explained in the Plan of Allocation contained in Question 9 below. The recovery for
options cannot be accurately estimated.
Settlement Class: The Court has preliminarily certified a Settlement Class of all purchasers or acquirers of IGT publicly traded securities between November 1, 2007 and October 30, 2008, inclusive, and who were allegedly damaged thereby. Excluded from the Settlement Class are Defendants; any entity in which any Defendant has or had a controlling interest or that is a parent or subsidiary or is controlled by any Defendant; Defendants’ officers and directors, including any person who was an officer or director during the Settlement Class Period; Defendants’ affiliates, legal representatives, heirs, predecessors, successors or assigns; and members of the Individual Defendants’ immediate families. Also excluded from the Settlement Class are those Persons who timely and validly request exclusion from the Settlement Class pursuant to this Notice.
Reasons for Settlement: Avoids the costs and risks associated with continued litigation, including the danger of no recovery, and provides a benefit to the Settlement Class now.
March 15, 2010 (Update) -- Federal Judge Edward C. Reed Jr. of the U.S. District Court for the District of Nevada denied the motion by the defendants to dismiss the consolidated complaint and allowed the class action alleging International Game Technology and two of its executives painted a falsely rosy picture of its earnings prospects to move forward.
July 30, 2009 -- An investor of International Game Technology (Public, NYSE:IGT) has filed a proposed securities class action lawsuit in the United States District Court for the District of Nevada on behalf of purchasers of International Game Technology (NYSE:IGT) common stock during the period between November 1, 2007 and October 30, 2008 against IGT and others alleging violations of Federal Securities laws.
According to the complaint the plaintiff alleges that International Game Technology and certain of its officers and directors violated the Securities Exchange Act of 1934by issuing between November 1, 2007 and October 30, 2008 materially false and misleading statements regarding IGT’s business prospects. As alleged in the complaint, the inflation in the price of IGT stock came out in response to a series of disclosures by IGT. International Game Technology (IGT), located in Reno, NV, is a global gaming company specializing in the design, manufacture, and marketing of electronic gaming equipment and network systems, as well as licensing and services. IGT maintains an array of entertainment-inspired gaming product lines. In addition to its United States production facilities in Nevada, it manufactures gaming products in the United Kingdom and through a third-party manufacturer in Japan. International Game Technology reported in 2007 Total Revenue of $2.6214billion with a Net Income of $508.20million and in 2008 $2.5286billion with a Net Income of $341.50million. Shares of IGT traded recently at $19.72 per share, down from a 52weekHigh of $24.55 per share and $48.28 per share in 2008.