NEW YORK, Nov. 3, 2008 (GLOBE NEWSWIRE) -- Investor Notice - Attorney Advertising -- The law firm of Bull & Lifshitz, LLP is investigating possible illegal conduct as alleged in proposed class action lawsuits (the "Class Actions") filed in the United States District Court for the Central District of California and a derivative complaint filed in the Superior Court of the State of California, County of Riverside against Hansen Natural Corporation (Nasdaq:HANS) ("Hansen" or the "Company"). The actions name as defendants certain of Hansen's officers and directors. The Class Actions are brought on behalf of all purchasers of common stock from May 23, 2007 and through November 8, 2007, inclusive (the "Class Period"). The derivative action ("Derivative Action") is brought derivatively on behalf of the Company.
Hansen is a Delaware corporation with its principal executive offices located at 550 Monica Circle, Suite 201, Corona, California 92880. Hansen, through its subsidiaries, engages in the development, marketing, sale, and distribution of beverages in the United States and Canada.
The class action complaints allege that, during the Class Period, Hansen and certain of its officers and directors violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 by issuing materially false and misleading statements that failed to disclose that: (i) the Company's second quarter sales results were "materially impacted by inventory loading as customers were induced to purchase more product before the Company raised its prices in its Monster Energy drink line and its Java Monster drink line"; (ii) the Company was "experiencing declining sales in its non-core drink lines"; (iii) the Company was "experiencing production shortfalls with its Java Monster drink line"; and (iv) as a result of the foregoing, defendants "lacked a reasonable basis for their positive statements about the Company and its prospects."
The derivative complaint alleges, among other things, that between May 2007 and the present, the defendants directed the Company to issue a series of improper statements concerning its business prospects. The complaint further alleges that while the Company's shares were purportedly artificially inflated because of those improper statements, certain defendants sold Company stock while in possession of material non-public information regarding the Company's "true" business prospects. The complaint asserts causes of action for breach of fiduciary duty for improper financial reporting, breaches of fiduciary duties for insider selling and misappropriation of information, violations of Cal. Corp. Code Sections 25402 and 25403, abuse of control, gross mismanagement, waste of corporate assets, and unjust enrichment, and seeks an unspecified amount of damages, adoption of corporate governance reforms, and equitable and injunctive relief.
If you wish to discuss this matter with us, or have any questions concerning your rights and interests with regard to this matter, please contact Joshua M. Lifshitz, Esq., Bull & Lifshitz, LLP via telephone at (212) 213-6222, via fax at (212) 213-9405 or by email at counsel@nyclasslaw.com. Please visit the Bull & Lifshitz, LLP website (http://www.nyclasslaw.com) for more information about the firm.
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