Press Release
August 25, 2011
BOSTON, MA – Gilman and Pastor, LLP announces that a lawsuit seeking class action status has been filed in the United States District Court for the Southern District of New York on behalf of the purchasers of Fairfax Financial Holdings Ltd. (“Fairfax” or the “Company”) (NYSE: FFH) who purchased shares between May 21, 2003 and March 22, 2006, inclusive (the “Class Period”).
The Complaint alleges that Fairfax violated federal securities laws by failing to disclose the following facts: (i) the Company’s revenues and earnings were negatively impacted by increased competition in its marketplace, including from companies with lower cost offerings; (ii) a number of significant operational problems existed at the Company that negatively impacted its business; and (iii) the Company had shifted its focus, and a significant amount of resources, away from its core higher education readiness and Penn Foster core businesses in pursuit of unproven projects to the detriment of its business, financial performance and prospects.
As a result of Defendants’ misleading statements, shares of FFH traded at artificially high price levels. Then on March 22, 2006, Fairfax revealed that the Securities and Exchange Commission (“SEC”) had subpoenaed records of all of Fairfax’s finite reinsurance contracts in the previous year. Consequently, shares of FFH dropped significantly.
If you purchased or otherwise acquired FFH shares during the Class Period, between May 21, 2003 and March 22, 2006, and either lost money on the transaction or still hold the shares, you may contact Gilman and Pastor by no later than September 23, 2011 to discuss your rights, including as to the recovery of your losses, or to obtain additional information, at www.investment-losses.com, by email at kgilman@gilmanpastor.com or by calling toll-free (888)252-0048.
Gilman and Pastor, LLP is one of the country’s premier national law firms that represents institutional and individual investors in class actions, complex securities and corporate governance litigation. The firm has been a champion of investor rights for over 40 years and has been recognized for its reputation for excellence by the courts. You may retain Gilman and Pastor without financial obligation or cost to you, or you may retain other counsel of your choice.