This is a securities fraud class action filed on behalf of a class of persons and entities who purchased or acquired the securities of Horizon Lines, Inc. between September 26, 2005 and April 25, 2008, inclusive (the "Class Period").
This class action against Horizon Lines, Inc. (“Horizon” or the “Company”) and certain of its senior management arises out of a widespread and unlawful price-fixing, client-allocating, and bid-rigging conspiracy that Horizon engaged in over a period of at least five years to artificially inflate its revenue and financial results. Horizon is one of the United States’ leading ocean container shipping and logistics companies. On April 17, 2008, the truth about Horizon’s scheme was partially revealed when the United States Department of Justice (the "DOJ") Antitrust Division executed search warrants and the Company announced that it was the subject of a DOJ investigation into its allegedly anticompetitive practices. One week later, Horizon reported its first quarter 2008 results and announced a material reduction in its earnings guidance, causing a severe decrease in the price of Horizon’s publicly traded securities. Subsequently, on October 1, 2008, the DOJ issued a press release announcing that four shipping industry executives -- including three Horizon employees -- had agreed to plead guilty for their roles in a conspiracy to eliminate competition and inflate prices for the movement of goods in the critical U.S. to Puerto Rico shipping lane.
On June 18, 2009, the Police and Fire Retirement System of the City of Detroit was appointed Lead Plaintiff. BLB&G and co-lead counsel Kirby McInerney LLP filed a complaint on July 29, 2009. The complaint was dismissed with leave to replead, and an amended complaint was filed on December 23, 2009. Defendants' filed their motion to dismiss on February 12, 2010, Lead Plaintiff filed its opposition brief on March 12, 2010, and Defendants replied on March 26, 2010. The district court dismissed the amended complaint on May 18, 2010. Lead Plaintiff appealed the District Court's decision to the United States Court of Appeals for the Third Circuit on June 15, 2010. Lead Plaintiff filed its appellant's brief on November 9, 2010, and Defendants filed their opposition brief on December 22, 2010. Lead Plaintiff's filed its reply brief on February 2, 2011.
