| Company: | Massey Energy Company |
| Ticker Symbol: | MEE |
| Class Period: | Oct-28-09 to Apr-21-10 |
| Date Filed: | Apr-29-10 |
| Lead Plaintiff Deadline: | Jun-28-10 |
| Court: | Southern District of West Virginia |
| Allegations: | |
The complaint charges Massey and certain of its officers and directors with violations of the Securities Exchange Act of 1934. Massey produces, processes, and sells bituminous coal extracted from 56 mines in West Virginia, Kentucky and Virginia, and claims to be the largest coal company in Central Appalachia.
The complaint alleges that prior to and during the Class Period, Massey claimed to be one of the safest mine operators in the industry, regularly touting its safety achievements and telling investors that safety was its number one priority. In fact, safety at Massey's mines was repeatedly sacrificed so that aggressive production goals could be met, and Massey had received numerous undisclosed citations arising from serious uncorrected safety and other regulatory violations.
Then, on April 5, 2010, an explosion at the Upper Big Branch mine near Montcoal, West Virginia, revealed the falsity of Massey's repeated representations about the safety of its mining operations when twenty-nine miners lost their lives in the deadliest U.S. mine accident in nearly 40 years. In the days following the tragedy, hundreds of incidents of uncorrected safety violations at Massey's operations came to light. The price of Massey common stock plunged following the explosion and subsequent revelations regarding Massey's safety violations.
On April 21, 2010, eight Massey mines were the target of surprise inspections by federal mine safety officials. Then, after the market closed, Massey announced its first quarter earnings and told investors that it would take up to $150 million in charges in the second quarter to account for the potential costs and liabilities associated with the Upper Big Branch tragedy. On these events, and despite the fact that the Company's first quarter earnings had purportedly beat the Street by $0.11 per share, Massey's stock fell to as low as $41.30 per share on April 22, 2010 before closing at $42.93 per share.
If you acquired the securities of the defendants during the Class Period you may, no later than the Lead Plaintiff Deadline shown above, request that the Court appoint you as lead plaintiff through counsel of your choice. You may also choose to remain an absent class member. A lead plaintiff must meet certain requirements.
