SAN DIEGO, March 3, 2014 (GLOBE NEWSWIRE) -- The Shareholders Foundation, Inc. announces that a lawsuit was filed on behalf of certain purchasers InnerWorkings, Inc. (INWK) common stock over alleged violations of Federal Securities Laws by InnerWorkings, Inc. in connection with certain allegedly false and misleading statements made between February 15, 2012 and November 6, 2013.
If you purchased shares of InnerWorkings, Inc. (INWK), you have certain options and you should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.
The plaintiff claims that defendants made allegedly false and/or misleading statements and/or failed to disclose that InnerWorkings, Inc. inflated its revenues in violation of Generally Accepted Accounting Principles, that InnerWorkings, Inc. artificially inflated its cash flows and adjusted EBITDA, and that as a result of the foregoing, InnerWorkings, Inc.'s financial statements were allegedly materially false and misleading at all relevant times.
On November 6, 2013, InnerWorkings, Inc. lowered its 2013 revenue guidance and GAAP diluted earnings per share guidance due to the performance of its Productions Graphics subsidiary. On that same day, InnerWorkings, Inc. reported that it removed Christophe Delaune as Production Graphic's President in October 2013, who had been in that role since InnerWorking's 2011 acquisition of Productions Graphics – then principally owned by Mr. Delaune. InnerWorkings also indicated there are potential disputes relating to the acquisition agreement of Production Graphics.
Shares of InnerWorkings, Inc. declined from $10.35 per share on October 24, 2013 to $5.64 per share on November 7, 2013.
Then on February 18, 2014, InnerWorkings, Inc. revealed that its previously issued financial statements for the periods beginning with the fourth quarter of 2011 and the year ended December 31, 2011 through the third quarter of 2013 should no longer be relied upon and would be restated. This was based on InnerWorkings' conclusion that Mr. Delaune artificially inflated results to meet earn-out targets and induce the Company to make earn-out payments relating to the Productions Graphics acquisition.
The plaintiff seeks to recover damages on behalf of all purchasers of InnerWorkings, Inc. (INWK) common stock between February 15, 2012 and November 6, 2013.
Those who purchased shares of InnerWorkings, Inc. have certain options and should contact the Shareholders Foundation, Inc. by e-mail at mail@shareholdersfoundation.com or call +1 (858) 779-1554.
The Shareholders Foundation, Inc. is a professional portfolio legal monitoring and a settlement claim filing service, which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. The Shareholders Foundation, Inc. is not a law firm. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.
CONTACT: Shareholders Foundation, Inc. Trevor Allen +1 (858) 779-1554 mail@shareholdersfoundation.com 3111 Camino Del Rio North Suite 423 San Diego, CA 92108
Source:Shareholders Foundation, Inc.