CAE - CAE ALERT: Bragar Eagel & Squire P.C. Announces that a Class Action Lawsuit Has Been Filed Against CAE Inc. and Encourages Investors to Contact the Firm | Benzinga
NEW YORK, July 19, 2024 (GLOBE NEWSWIRE) -- Bragar Eagel & Squire, P.C., a nationally recognized stockholder rights law firm, announces that a class action lawsuit has been filed against CAE Inc. ("CAE" or the "Company") (NYSE:CAE) in the United States District Court for the Southern District of New York on behalf of all persons and entities who purchased or otherwise acquired CAE securities between February 11, 2022 and May 21, 2024, both dates inclusive (the "Class Period"). Investors have until September 16, 2024 to apply to the Court to be appointed as lead plaintiff in the lawsuit.
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The Complaint alleges that Defendants made false and/or misleading statements and/or failed to disclose that: (1) several of CAE's pre-COVID fixed-price Defense contracts had incurred severe cost overruns due to supply chain and labor issues – as the segment was significantly impacted by the pandemic – which dented the segment's profit and operating margin; and (2) CAE failed to successfully reduce hard costs and achieve a sufficient level of operational efficiency, particularly with respect to such contracts, necessitating a re-baselining of the Defense business and significant associated charges.
On August 10, 2022, the Company announced it had incurred "$28.9 million in unfavourable contract profit adjustments in Defense, involving two programs in the U.S." As a result, the Company's ...