The Shuman Law Firm today announced that a lawsuit seeking class action
status has been filed in the U.S. District Court for the District of
Colorado on behalf of purchasers of the common stock of Molycorp, Inc.
between March 9, 2011 and November 10, 2011, inclusive (the “Class
Period”).
If you wish to discuss this action or have any questions concerning this
notice or your rights and interests with respect to this matter, please
contact Kip B. Shuman or Rusty E. Glenn toll free at (866) 974-8626 or
email Mr. Shuman at kip@shumanlawfirm.com or Mr. Glenn at
rusty@shumanlawfirm.com.
The complaint alleges that Molycorp and certain of its officers and
directors violated federal securities laws by issuing materially false
and misleading statements regarding the Company's business and
prospects. Specifically, it is alleged that the defendants
misrepresented and/or failed to disclose the following adverse facts
during the Class Period: (a) Molycorp's development and expansion of the
Mountain Pass mine was not progressing on schedule and would not allow
the company to reach rare earth oxide production rates at the end of
calendar 2012 and 2013; and (b) end users had been reducing demand for
the company's products as prices for rare earth elements increased.
On November 10, 2011, the Company reported disappointing third quarter
2011 revenues and earnings results below analysts' estimates and
announced a reduction in Mountain Pass production guidance for the
fourth quarter of 2011 due to expected equipment downtime relating to
Mountain Pass engineering and expansion issues. The Company's stock
price fell from $38.70 per share on November 10, 2011 to $33.45 per
share on November 11, 2011, or approximately 13.6%.
If you purchased Molycorp common stock during the Class Period, you may
request that the Court appoint you as lead plaintiff of the class no
later than April 3, 2012. A lead plaintiff is a class member that acts
on behalf of other class members in directing the litigation.
The Shuman Law Firm represents investors throughout the nation, concentrating its practice in investor rights litigation.
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