LOS ANGELES–(BUSINESS WIRE)–$PSMT #PSMT—The Schall Law Firm, a national shareholder rights litigation firm, announces that it is investigating claims on behalf of investors of PriceSmart, Inc. (“PriceSmart” or “the Company”) (NASDAQ: PSMT) for violations of §§10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder by the U.S. Securities and Exchange Commission.
The investigation focuses on whether the Company issued false and/or misleading statements and/or failed to disclose information pertinent to investors. PriceSmart’s omni-channel business strategy failed to achieve its goals. The Company’s South American strategy also failed to achieve cost savings. The Company invested Trinidad and Tobago dollars in certificates of deposit with financial institutions, but improperly classified these investments as cash and cash equivalents. Correcting these misclassifications would materially impact the Company’s financial statements. The Company suffered from a material weakness in its internal controls over financial reporting. Based on these facts, the Company’s public statements were false and materially misleading throughout the class period. When the market learned the truth about PriceSmart, investors suffered damages.
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We also encourage you to contact Brian Schall of the Schall Law Firm, 1880 Century Park East, Suite 404, Los Angeles, CA 90067, at 424-303-1964, to discuss your rights free of charge. You can also reach us through the firm’s website at www.schallfirm.com, or by email at [email protected].
The class in this case has not yet been certified, and until certification occurs, you are not represented by an attorney. If you choose to take no action, you can remain an absent class member.
The Schall Law Firm represents investors around the world and specializes in securities class action lawsuits and shareholder rights litigation.
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