Shareholder rights law firm Robbins LLP announces that a purchaser of Spirit AeroSystems Holdings, Inc. (NYSE: SPR) filed a class action complaint against the Company for alleged violations of the Securities Exchange Act of 1934 between October 31, 2019 and February 27, 2020. Spirit designs, manufactures, and supplies commercial aero structures in the United States and internationally.
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Spirit AeroSystems Holdings, Inc. Inc. (SPR) Accused of Misleading Shareholders
According to the complaint, following the second crash of a 737 MAX plane in March 2019, all 737 MAX airlines were grounded globally. With 737 MAX production historically accounting for 50% of Sprit’s revenues, Spirit pacified market concerns by stating that the Company was “continuing to produce at a rate of 52 aircrafts per month” for “an extended period of time” to “burn off excess inventory,” and assured they “made good progress” on “action on cost control and working capital to mitigate impact.” Then, on December 16, 2019, Boeing announced that it was suspending production of 737 MAX planes to maintain “supply chain health.” Consequently, on February 28, 2020, Spirit disclosed that 737 MAX production levels would be over 66% lower than those in 2019, and would not normalize for the next several years, concluding that “2020 will be a difficult year” for Spirit. On this news, Spirit’s shares fell 10% to close at $52.84 per share. The stock currently trades at around $20 per share, representing a decline of 78% from its class period high of $91.85.
Spirit AeroSystems Holdings, Inc. Inc. (SPR) Shareholders Have Legal Options
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