United States Steel Corporation investors may receive additional information about the case by clicking the link "Join this Class Action" above.
U.S. Steel is an integrated steel producer of flat-rolled and tubular products, with major production operations in North America and Europe. The shareholder class action complaint alleges that U.S. Steel and certain of its senior executive officers made materially false and misleading statements to investors about the Company’s outlook and expected financial performance during the Class Period.
As detailed in the complaint, during Fiscal 2016 U.S. Steel represented to investors that it was transforming the Company through “two phases of a focused execution on our stockholder value creation strategy.” Additionally, during the Class Period U.S. Steel and certain senior executive officers made a series of positive statements to investors about the Company’s ability to benefit from improving market conditions. For example, on January 31, 2017, U.S. Steel’s Chief Executive Officer (“CEO”) stated that the Company was “starting 2017 with much better market conditions” than it faced at the beginning of 2016, and that U.S. Steel “will benefit from improved market conditions.”
Then, on April 25, 2017, U.S. Steel announced disappointing First Quarter Fiscal 2017 financial and operational results – despite improved market conditions. Specifically, the Company reported a quarterly net loss of $180 million (or ($1.03) per share), adjusted EBITDA of $74 million, and negative operating cash flow of $135 million. Also on April 25, 2017, the Company significantly reduced its net earning guidance from $535 million to $260 million for Fiscal 2017.
Following this news, shares of the Company’s stock fell $8.33 per share, or over 26.7%, to close on April 26, 2017 at $22.78 per share, on heavy trading volume.
If you are a member of the class described above, you may no later than July 3, 2017 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 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 firstname.lastname@example.org.
Kessler Topaz Meltzer & Check, LLP
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