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Talbots, Inc TLB Securities Stock Fraud

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Company: Talbots, Inc
Ticker Symbol: TLB
Class Period: Dec-8-09 to Jan-11-11
Date Filed: Feb-4-11
Lead Plaintiff Deadline: Apr-5-11
Court: District of Massachusetts
Allegations:
West Hartford, CT: A lawsuit seeking class action status has been filed in the United States District Court for the District of Massachusetts on behalf of purchasers of the common stock of Talbots, Inc. ("Talbots" or the "Company") between December 8, 2009 and January 11, 2011, inclusive (the "Class Period").

The Complaint charges Talbots and certain of its officers and directors violated federal securities laws by failing to disclose material adverse facts about the Company's financial condition. Specifically, the Complaint alleges that: (i) notwithstanding defendants' mantra about the Company being a great turnaround story, demand for Talbots' full-price inventory was extremely soft, which had resulted in Talbots becoming saddled with excess inventory that could not be sold at full price; and (ii) Talbots could not keep pace with its competitors without turning to the dramatic and widespread promotional pricing that defendants had stated the Company would not have to resort to.

On January 11, 2011, Talbots provided a Business Update and reported that quarter-to-date top line sales were down approximately 7% versus the fourth quarter of the prior year and the Company's previously announced expectation for fourth quarter top-line sales in the range of flat to down low-single digits. Additionally, quarter-to-date comparable store sales were down approximately 6%. On this news, Talbots' common stock dropped 17.4% to close at $6.25.

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.

Talbots, Inc TLB Securities Fraud Legal Help

If you have suffered from financial losses, you may qualify for damages or remedies that may be awarded in a possible Talbots, Inc securities class action lawsuit. Please fill in our form on the right to submit your complaint for a free evaluation.

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