& Sherwood Investigates Annie’s, Inc. for Possible Breaches of Fiduciary
City, OK (June
13, 2014) – The law firm of Federman & Sherwood has initiated
an investigation into Annie’s, Inc. [NYSE: BNNY] with respect to alleged
violations of the federal securities laws.
June 2, 2014, the Company disclosed in its Annual Report for the 2014 fiscal
year that the Company had identified a material weakness in its internal
control over financial reporting. The Company disclosed: (1) the historical
methodology for estimating certain trade allowances was not designed to include
all related trade promotion costs subsequent to period end; and (2) the
controls over accounting for contract manufacturing were not designed to
precisely evaluate the valuation and accuracy of all contract manufacturing
receivables and payables. According to Annie's, the material weakness resulted
in audit adjustments during the fourth quarter ended March 31, 2014 and
misstatements to the net sales, costs of goods sold, inventory, accounts
receivable, prepaid expenses and other current assets, and accrued liabilities
and revisions to the consolidated financial statements for the first three
quarters of fiscal 2014, for the quarterly and annual statements for the 2013
fiscal year ended March 31, 2013, and the 2012 fiscal year ended March 31,
2012. On this news, the Company’s shares
declined over 3% to close at $31.65 per share.
the market closed on June 3, 2014, the Company announced that its independent
registered public accounting firm, PricewaterhouseCoopers LLP was resigning
effective the earlier of August 11, 2014 or the completion of the Company's
filing with the SEC of the Form 10-Q for the period ending June 30, 2014.
According to the Company, the Audit Committee was in the process of selecting a
new independent registered public accounting firm. On this news, the Company’s shares declined
$2.53 per share, nearly 8%, to close on June 4, 2014, at $30.07 per share.
you purchased shares of the Company’s stock between August 8, 2013 and June 3,
2014 and have any information to assist in our investigation, or have questions
or concerns regarding this notice or your rights or interests in this matter,
please contact Federman & Sherwood, or complete the attached investor certification to be added to our database for this company. Federman &
Sherwood has extensive nationwide experience in representing investors in
securities, derivative and merger-related shareholder class actions, and has
been appointed as lead counsel in multiple complex cases across the country.
10205 North Pennsylvania Avenue
City, OK 73120
Email to: email@example.com
Posted on Fri, June 13, 2014
by K. Lynn Nunn