Published: March 14, 2010
Robbins Umeda LLP Announces Investigation of Schweitzer-Mauduit International, Inc.
SAN DIEGO - (BUSINESS WIRE) - Robbins
Umeda LLP has commenced an investigation into possible breaches of
fiduciary duty and other violations of state law by certain officers and
directors at Schweitzer-Mauduit International, Inc. ("Schweitzer " or
the "Company") (NYSE: SWM). Schweitzer manufactures and sells paper and
reconstituted tobacco products to the tobacco industry, as well as
specialized paper products for use in other applications. The Company
was founded in 1995 and is headquartered in Alpharetta, Georgia.
Robbins Umeda LLP's investigation concerns whether the Company's
directors and officers caused the Company to issue materially false and
misleading statements. Specifically, the investigation will determine
whether these directors and officers misrepresented the strength of
Schweitzer's competitive position in the United States and its ability
to withstand European competition.
The alleged material misstatements and omissions may have caused
Schweitzer's stock to trade at artificially inflated prices, reaching a
high of $83.63 per share on January 14, 2010. It appears that inflation
in the Company's stock price allowed them to complete a secondary
offering of 1.8 million shares of its stock at $60 per share in November
2009.
On February 10, 2010, after the market closed, Schweitzer reported its
fourth quarter and 2009 financial results, as well as the filing of a
patent infringement action alleging that certain foreign companies
infringed on Schweitzer's U.S. patent. Upon this news, Schweitzer's
stock fell $23.58 per share to close at $46.65 per share on February 11,
2010, a one day decline of nearly 34%.
A lawsuit alleging violations of the Securities Exchange Act of 1934 has
been filed on behalf of shareholders who purchased or otherwise acquired
Schweitzer stock between August 5, 2009 and February 10, 2010 against
the Company and certain of its officers. Securities class actions like
this can potentially cause additional damage to the Company.
If you purchased your Schweitzer stock prior to August 5, 2009, continue
to hold your shares, and would like more information about your rights
as a shareholder, please contact attorney Lauren Levi at 800-350-6003 or
by e-mail at llevi@robbinsumeda.com.
Robbins Umeda LLP is a California-based law firm, which has significant
experience representing investors in shareholder derivative actions,
securities fraud class actions, and merger-related shareholder class
actions. For more information about the firm, please go to http://www.robbinsumeda.com.
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Robbins Umeda LLP
Lauren Levi, 800-350-6003
llevi@robbinsumeda.com
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