WILMINGTON, Del., March 22, 2016 (GLOBE NEWSWIRE) -- Rigrodsky & Long, P.A.:
- Do you, or did you, own shares of Santander Consumer USA Holdings Inc. (NYSE:SC)?
- Did you purchase your shares between February 3, 2015 and March 15, 2016, inclusive?
- Did you lose money in your investment?
Rigrodsky & Long, P.A. announces that a complaint has been filed in the United States District Court for the Northern District of Texas on behalf of all persons or entities that purchased the common stock of Santander Consumer USA Holdings Inc. (“Santander” or the “Company”) (NYSE:SC) between February 3, 2015 and March 15, 2016, inclusive (the “Class Period”), alleging violations of the Securities Exchange Act of 1934 against the Company and certain of its officers (the “Complaint”).
If you purchased shares of Santander during the Class Period, or purchased shares prior to the Class Period and still hold Santander, and wish to discuss this action or have any questions concerning this notice or your rights or interests, please contact Timothy J. MacFall, Esquire or Peter Allocco of Rigrodsky & Long, P.A., 2 Righter Parkway, Suite 120, Wilmington, DE 19803 at (888) 969-4242; by e-mail to info@rl-legal.com; or at: http://rigrodskylong.com/investigations/santander-consumer-usa-holdings-inc-sc.
The Complaint alleges that throughout the Class Period, defendants made materially false and misleading statements, and omitted materially adverse facts, about the Company’s business, operations and prospects. As a result of defendants’ alleged false and misleading statements, the Company’s stock traded at artificially inflated prices during the Class Period.
According to the Complaint, on February 29, 2016, after the market closed, the Company filed a NT 10-K with the SEC on Form 12b-25 revealing that Santander was unable to timely file its Annual Report on Form 10-K for the Company’s fiscal year ended December 31, 2015 because the Company’s financial statements had not yet been completed. According to the Company, it has an open comment letter from the Division of Corporation Finance of the SEC on the Company’s Form 10-K for the fiscal year ended December 31, 2014 and Form 10-Q for the quarter ended September 30, 2015 with respect to the Company’s credit loss allowance, including the removal of seasonality and the increase in troubled debt restructuring (“TDR”) impairment during the quarter ended September 30, 2015 as well as certain TDR disclosures in both periods. According to the Company, it is still discussing these matters with the SEC and its independent accounting firm and will file the Form 10-K as soon as possible.
Then, on March 15, 2016, the Company revealed that the Company was unable to meet the March 15, 2016, extended filing deadline for its 2015 Annual Report because it was still unable to complete its financial statements. According to the Company, it still has an open comment letter from the Division of Corporation Finance of the SEC on the Company’s Form 10-K for the fiscal year ended December 31, 2014 and Form 10-Q for the quarter ended September 30, 2015 with respect to estimating the Company’s credit loss allowance, including the removal of seasonality and the increase in TDR impairment during the quarter ended September 30, 2015 as well as certain TDR disclosures. According to the Company, as a result of the review, the Company is changing its methodology for estimating credit loss allowance on individually acquired retail installment contracts and will correct prior periods in Item 9B in the Form 10-K. On March 15, 2016, the Company notified the New York Stock Exchange (“NYSE”) that it is not in compliance with Rule 8.01E of the NYSE’s listed company manual as a result of its failure to file the Form 10-K within the extended time period.
On this news, shares of Santander dropped over 15% in the following days, closing at $9.00 per share on March 16, 2016.
If you wish to serve as lead plaintiff, you must move the Court no later than May 17, 2016. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. Any member of the proposed class may move the court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member.
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