An investigation on behalf of current long term investors in Rent-A-Center Inc (NASDAQ:RCII) shares over possible breaches of fiduciary duty by certain officers and directors was announced and NASDAQ:RCII stockholders should contact the Shareholders Foundation.
San Diego, CA -- (SBWIRE) -- 04/12/2017 -- An investigation on behalf of current long-term investors in shares of Rent-A-Center Inc (NASDAQ:RCII) concerning potential breaches of fiduciary duties by certain directors and officers of Rent-A-Center Inc was announced.
Investors who are current long term investors in Rent-A-Center Inc (NASDAQ:RCII) shares, have certain options and should contact the Shareholders Foundation at email@example.com or call 858-779-1554.
The investigation by a law firm for current long term investors in NASDAQ:RCII stocks follows a lawsuit filed recently against Rent-A-Center Inc over alleged securities laws violations. The investigation on behalf of current long term investors in NASDAQ:RCII stocks, concerns whether certain Rent-A-Center directors are liable in connection with the allegations made in that lawsuit.
According to that complaint filed in the U.S. District Court for the Eastern District of Texas the plaintiff alleges that the Defendants failed to disclose that Rent-A-Center could not properly implement its new point of sale system ("POS"), that, the POS was performing extremely poorly, including several instances where the system suffered complete outages, that as a result, the Company's Acceptance Now credit system could not be implemented properly, that the Company could not meet revenue and profitability guidance provided to investors, that, as such, the Company would need to revise its prior guidance, and that, as a result of the foregoing, Defendants' statements about Rent-A-Center's business, operations, and prospects, were false and misleading and/or lacked a reasonable basis.
Rent-A-Center Inc reported that its annual Total Revenue rose from over $3.15 billion in 2014 to over $3.27 billion in 2015 while its Net Income of $96.42 million in 2014 declined to a Net Loss of $866.63 million in 2015.
On July 28, 2016, Rent-A-Center Inc announced that issues with its new Point-of-Sale ("POS") system were fixed and alleviated.
On October 11, 2016 Rent-A-Center Inc announced it was experiencing issues with the POS system which would have a negative effect on its sales.
On April 11, 2017, NASDAQ:RCII shares closed at $10.48 per share.
Those who purchased shares of Rent-A-Center Inc have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
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