Cases
Rent-A-Center, Inc. (NASDAQ: RCII)
Securities Class Action
Overview
Overview
- Date:
- 1/1/2017
- Status:
- Closed/Complete
NEW YORK, December 27, 2016 – Bragar Eagel & Squire, P.C. announces that a class action lawsuit has been filed in the United States District Court for the Eastern District of Texas on behalf of all persons or entities who acquired the Rent-A-Center, Inc. (NASDAQ: RCII) securities between July 27 2015 to October 10, 2016 (the “Class Period”).
The Complaint alleges that throughout the Class Period, Defendants made materially false and/or misleading statements as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose that: (1) Rent-A-Center could not properly implement its new point-of-sale system (POS); (2) the POS was performing extremely poorly, including several instances where the system suffered complete outages; (3) as a result, the Company’s Acceptance Now credit system could not be implemented properly; (4) the Company could not meet revenue and profitability guidance provided to investors; and (5) the Company would need to revise its prior guidance. As a result of the foregoing, Defendants’ statements about Rent-A-Center’s business, operations, and prospects were false and misleading and/or lacked a reasonable basis throughout the Class Period.
On October 11, 2016, Rent-A-Center CEO, Robert D. Davis, announced that following the implementation of the Company’s new point-of-sale system, the Company “experienced system performance issues and outages that resulted in a larger than expected negative impact on Core sales.” Following this news, Rent-A-Center shares declined $3.70 per share on October 11, 2016.
If you acquired Rent-A-Center securities during the Class Period and suffered a loss or continue to hold shares purchased prior to the Class Period, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters please contact Melissa A. Fortunato, Esq. by email at investigations@bespc.com, or telephone at (212) 355-4648, or by filling out the contact form below. There is no cost or obligation to you.
The Complaint alleges that throughout the Class Period, Defendants made materially false and/or misleading statements as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose that: (1) Rent-A-Center could not properly implement its new point-of-sale system (POS); (2) the POS was performing extremely poorly, including several instances where the system suffered complete outages; (3) as a result, the Company’s Acceptance Now credit system could not be implemented properly; (4) the Company could not meet revenue and profitability guidance provided to investors; and (5) the Company would need to revise its prior guidance. As a result of the foregoing, Defendants’ statements about Rent-A-Center’s business, operations, and prospects were false and misleading and/or lacked a reasonable basis throughout the Class Period.
On October 11, 2016, Rent-A-Center CEO, Robert D. Davis, announced that following the implementation of the Company’s new point-of-sale system, the Company “experienced system performance issues and outages that resulted in a larger than expected negative impact on Core sales.” Following this news, Rent-A-Center shares declined $3.70 per share on October 11, 2016.
If you acquired Rent-A-Center securities during the Class Period and suffered a loss or continue to hold shares purchased prior to the Class Period, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters please contact Melissa A. Fortunato, Esq. by email at investigations@bespc.com, or telephone at (212) 355-4648, or by filling out the contact form below. There is no cost or obligation to you.