NEW YORK, July 6, 2012 (GLOBE NEWSWIRE) -- Shareholders of Central European Distribution Corporation (Nasdaq:CEDC) or (the "Company") are reminded of the securities class action against CEDC and certain of its officers. The federal securities class action (12 Civ. 4512), filed in United States District Court, Southern District of New York, is on behalf of all persons who purchased or otherwise acquired securities between March 1, 2010 and June 4, 2012, inclusive (the "Class Period"). This securities class action seeks to recover damages caused by the Company's violations of the federal securities laws and to pursue remedies under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder against the Company and certain of its top officials.
If you are a shareholder who purchased CEDC securities during the Class Period, you have until August 7, 2012 to ask the Court to appoint you as lead plaintiff for the class. A copy of the complaint can be obtained at www.pomerantzlaw.com. To discuss this action, contact Rachelle R. Boyle at firstname.lastname@example.org or 888.476.6529 (or 888.4-POMLAW), toll free, x237. Those who inquire by e-mail are encouraged to include their mailing address and telephone number.
CEDC is one of the largest producers of vodka in the world and Central and Eastern Europe's largest integrated spirit beverage business. The Complaint alleges that, throughout the Class Period, defendants made false and/or misleading statements, as well as failed to disclose that: 1) the Company's reported net sales in the years ended December 31, 2010 and 2011 were materially inflated; (2) as a result of its failure to appropriately account for customer rebates, the Company anticipates restating its reported consolidated net sales, operating profit and related accounts receivable for these periods by approximately $30 to $40 million; and (3) as a result of the foregoing, the Company's statements were materially false and misleading at all relevant times.
On June 4, 2012, the Company disclosed that it estimates a reduction of its previously reported consolidated net sales, operating profit and related accounts receivable for the periods of January 1, 2010 through December 31, 2011 by approximately $30 to $40 million, due to the Company's failure to properly account for the retroactive trade rebates provided to the customers of its main operating subsidiary in Russia, the Russian Alcohol Group. On these revelations, CEDC shares declined $0.38 per share or approximately 10.7%, to close at $3.17 per share on June 5, 2012.
The Pomerantz Firm, with offices in New York and Chicago, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, the Pomerantz Firm pioneered the field of securities class actions. Today, more than 75 years later, the Pomerantz Firm continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of defrauded investors. See www.pomerantzlaw.com.
CONTACT: Rachelle R. Boyle Pomerantz Haudek Grossman & Gross LLP email@example.com