The Shareholders Foundation announces that an investor, who purchased shares of Key Energy Services, Inc. (NYSE:KEG), filed a lawsuit in the U.S. District Court for the Southern District of Texas over alleged violations of Federal Securities Laws by Key Energy Services, Inc. in connection with certain allegedly false and misleading statements made between July 25, 2013 and July 17, 2014.
Investors who purchased shares Key Energy Services, Inc. (NYSE:KEG) have certain options and for certain investors are short and strict deadlines running. Deadline: October 14, 2014. NYSE:KEG investors should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 – 1554.
According to the complaint the plaintiff alleges on behalf of purchasers of Key Energy Services, Inc. (NYSE:KEG) common shares between July 25, 2013 and July 17, 2014, that the defendants violated Federal Securities Laws.
More specifically, the plaintiff claims that defendants made allegedly false and misleading statements and/or failed to disclose that Key Energy Services, Inc.’s production for one of its largest customers was in decline, that Key Energy Services, Inc. engaged in improper conduct related to its operations in Russia, and that Key Energy Services, Inc.’s business practices in Russia were in violation of the U.S. Foreign Corrupt Practices Act. As a result, the lawsuit claims that when these adverse facts became known, the value of Key Energy’s stock dropped, damaging investors.
On January 6, 2014, Key Energy Services, Inc. provided the updates for the fourth quarter 2013: Among other things, Key Energy Services, Inc. said that PEMEX is conducting an audit of the Company’s aggregate billings of $372 million under its contracts with PEMEX and that as a result, the company expects to take a charge of between $2 million and $3 million in the fourth quarter 2013. Shares of Key Energy Services declined from $7.97 per share on January 6, 2014, to $7.05 per share on January 9, 2014.
On May 6, 2014, Key Energy Services, Inc disclosed that the U.S. Securities and Exchange Commission (“SEC”) has advised Key Energy Services, Inc that the SEC is investigating possible violations of the U.S. Foreign Corrupt Practices Act involving business activities of Key’s operations in Russia.Shares of Key Energy Services declined to as low as $7.75 per share on May 16, 2014.
On July 17, 2014, Key Energy Services, Inc disclosed that it expects to report a second quarter loss in the range of 35 to 38 cents per share. KEG announced that it will record a $30 million to $35 million pre-tax charge for goodwill and other assets impairments related to its operations in Russia. Also, pre-tax expenses of $5 million were incurred in connection with the Foreign Corrupt Practices Act investigations. Shares of Key Energy Services, Inc declined to $6.98 per share on July 18, 2014 and continued to decline to as low as $5.58 per share on September 8, 2014.
Those who purchased shares of Key Energy Services, Inc. (NYSE:KEG) have certain options and should contact the Shareholders Foundation.
Contact:
Shareholders Foundation, Inc.
Michael Daniels
3111 Camino Del Rio North – Suite 423
92108 San Diego
Phone: +1-(858)-779-1554
Fax: +1-(858)-605-5739
mail@shareholdersfoundation.com