Gilman Law LLP, a leading national securities law firm, is now accepting claims for lawsuits on behalf of Royal Caribbean Cruises Ltd. shareholders. The firm is actively investigating shareholder claims that during the Class Period, Royal Caribbean Cruises Ltd. failed to disclose and misrepresented or recklessly disregarded material adverse facts regarding the Company’s business and prospects. The firm is currently offering free legal evaluations to all Royal Caribbean Cruises investors nationwide.
For over 30 years, Gilman Law has represented investors in all major aspects of securities fraud litigation, including stock manipulation, securities fraud, and shareholder rights violations. If you purchased or otherwise acquired shares of Royal Caribbean Cruises Ltd. (NYSE: RCL) during the period between April 23, 2009 and July 28, 2011, and either lost money on the transaction or still hold the shares, you must contact Gilman Law LLP no later than October 3, 2011 in order to exercise your legal rights against Royal Caribbean.
Royal Caribbean Cruises Ltd. Class Action Lawsuit Allegations
Royal Caribbean Cruises and certain of its officers and directors have been named in a class action lawsuit filed in the United States District Court for the Southern District of Florida on behalf of purchasers of the common stock of Royal Caribbean Cruises Ltd. between April 23, 2009 and July 28, 2011. The complaint alleges that the Defendants failed to disclose and misrepresented or recklessly disregarded the following material adverse facts:
That Defendants had improperly accounted for interest expense related to the amortization of certain financing fees;
That as a result, defendants had materially overstated Royal Caribbean’s profitability;
That the Company’s financial statements were not prepared in accordance with Generally Accepted Accounting Principles (“GAAP”);
That the Company lacked adequate internal and financial controls;
That, as a result of the foregoing, the Company’s financial statements were materially false and misleading at all relevant times; and
That the Defendants’ statements that the Company was operating according to plan, along with their statements regarding the Company’s earnings guidance and prospects, were lacking in any reasonable basis when made.
On July 28, 2011, Royal Caribbean disclosed that it had identified errors in its previous accounting treatment of interest expense relating to the amortization of certain financing fees. As a result, the Company had “revised” its previous financial statements, resulting in (among other things) reduced net income for fiscal years 2009 and 2010. This accounting error also reduced the Company’s 2011 earnings guidance by $0.10 per share. The Following day, it was revealed by financial analysts and reporters that the Defendants had attempted to slide under the radar an additional $0.10 reduction in 2011 full-year earnings, completely unrelated to the accounting issue.
This news caused shares of the Company’s stock to plummet $4.50 per share, or over 12.5 percent, to close on July 28, 2011 at $31.26 per share. Royal Caribbean shares would continue to decline in the following days, and closed as low as $24.00 per share on August 8, 2011.
The Royal Caribbean Cruises shareholder lawsuits alleges that due to Defendants’ misleading statements, shares of Royal Caribbean Cruises traded at artificially high price levels during the Class Period.
Legal Help for Royal Caribbean Ltd. Shareholders
Gilman Law has extensive experience representing both individual and institutional investors in securities class action suits, and has recovered over a billion dollars for its clients. We are ready to assist investors who have sustained losses as a result of Royal Caribbean’s fraudulent practices. For a free evaluation of your case or to obtain additional information, please fill out the form on the left or CALL TOLL FREE (888) 252-0048.
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