Eastman Kodak Company
Lead Plaintiff Deadline: 10/13/2020
SUMMARY OF CASE:
A securities class action has been filed against Eastman Kodak Company (KODK) behalf of all persons or entities that purchased or otherwise acquired Eastman Kodak common between July 27, 2020 through August 7, 2020. This case has been filed in the USDC – S.D.NJ.
The Complaint alleges that the statements made by defendants were materially false and/or misleading because they misrepresented and failed to disclose material information pertaining to the Company’s business and operations, which were known to defendants or recklessly disregarded by them. Specifically, defendants failed to disclose that the Company had granted Defendant James V. Continenza (“Defendant Continenza” and several other Company insiders millions of dollars’ worth of stock options, immediately prior to the Company publicly disclosing that it had received a $765 million loan from the DFC to produce drugs to treat COVID-19, which defendants knew would cause Kodak’s stock to immediately increase in value once the deal was announced. In addition, while in possession of this material non-public information, Defendant Continenza and other Company insiders purchased tens of thousands of the Company’s shares immediately prior to the announcement, again at prices that they knew would increase exponentially once news of the loan became public. As a result of the foregoing, defendants’ statements about Kodak’s business, operations, and prospects were false and misleading and/or lacked a reasonable basis when made. As a result of this fraudulent scheme, defendants artificially inflated the Company’s stock price throughout the Class Period and made investment decisions based on material, nonpublic information derived from their positions at Kodak.