Polaris investors may receive additional information about the case by clicking the link "Join this Class Action" above.
According to the complaint, Polaris, together with its subsidiaries, designs, engineers, manufactures and markets off-road vehicles, snowmobiles, motorcycles, and on-road vehicles in the U.S. and worldwide.
The shareholder complaint alleges that Polaris and certain of its executive officers made a series of false and misleading statements and/or failed to disclose to investors during the Class Period that: (i) the Company was unable to sufficiently validate the initially identified repair for certain of its recalled RZR vehicles; (ii) as a result, the Company would ultimately need to implement a more complex and expensive repair solution; (iii) the financial impact of RZR vehicle recalls was therefore greater than the Company had disclosed to investors; and (iv) consequently, the Company had overstated its full-year 2016 guidance. The complaint further alleges that, as a result of the foregoing, Polaris’s public statements during the Class Period were materially false and misleading at all relevant times.
In July 2015, Polaris issued a recall for the Company’s model-year 2016 Youth RZR off-highway vehicle, citing fire hazards. Three other recalls of the Company’s RZR vehicles followed – in October 2015, December 2015, and April 2016 – affecting more than 160,000 RZR vehicles of various model years. Nevertheless, throughout the Class Period – and as recently as July 20, 2016 – Polaris consistently advised investors that the Company expected to report fiscal 2016 net income of at least $6.00 per diluted share.
On September 12, 2016, Polaris issued a press release disclosing that it was lowering its fiscal 2016 earnings guidance from $6.00 – $6.30 per diluted share to $3.30 to $3.80 per diluted share – $2.50 to $2.70 per diluted share lower than the Company’s prior guidance. The Company attributed the lowered guidance to the impact of RZR thermal-related problems, citing, in part, the Company’s inability “to sufficiently validate the initially identified RZR Turbo recall repair, necessitating a more complex and expensive repair solution.”
On this news, Polaris stock fell $4.05, or over 5%, to close on September 12, 2016 at $76.79 per share, on heavy trading volume.
If you are a member of the class described above, you may no later than November 15, 2016 move the Court to serve as lead plaintiff of the class, if you so choose.
A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member’s claim is typical of the claims of other class members, and that the class member will adequately represent the class. Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. Any member of the purported class may move the court to serve as a lead plaintiff through counsel of their choice, or may choose to do nothing and remain an inactive class member.
Kessler Topaz Meltzer & Check, LLP has not filed a complaint in this matter. If you wish to discuss this action or have any questions concerning this notice or your rights or interests with respect to these matters, please contact Kessler Topaz Meltzer & Check, LLP toll free at 1-888-299-7706 or 1-610-667-7706, or via e-mail at info@ktmc.com.
CONTACT:
Kessler Topaz Meltzer & Check, LLP
James Maro, Esq. or Adrienne Bell, Esq.
280 King of Prussia Road
Radnor, PA 19087 1-888-299-7706 (toll free) or 1-610-667-7706
Or by e-mail at info@ktmc.com