Home / Knowledge / News / Apparel/Garments / Law Office of Robbins Umeda announces investigation of Talbots
Law Office of Robbins Umeda announces investigation of Talbots
Feb '11
Robbins Umeda LLP, a shareholder rights litigation firm, has commenced an investigation into possible breaches of fiduciary duty and other violations of the law by certain officers and directors at The Talbots Inc. Talbots, along with its subsidiaries, operates as a specialty retailer and direct marketer of women's apparel, accessories, and shoes in the United States and Canada. The company was founded in 1947 and is headquartered in Hingham, Massachusetts.

Robbins Umeda LLP's investigation concerns whether Talbots's officers and directors caused the company to issue materially false and misleading statements regarding the company's business and financial results. Specifically, the investigation concerns whether these fiduciaries improperly touted the company's rise to profitability and caused the company's stock to trade at artificially inflated prices.

On April 13, 2010, the officers and directors at Talbots released upbeat financial news that the adjusted fourth quarter income from continuing operations had increased to $7.4 million, compared to the prior year's adjusted loss from continuing operations of $123.4 million.

Throughout the remainder of 2010, Talbots continued to release statements regarding the company's positive performance compared to years past. However, on December 7, 2010, Talbots's abruptly reported that net sales for the third quarter of 2010 decreased 3.2%, that the company's comparable store sales were down 7.1%, and an 11.3% increase in total inventory.

Upon this news, Talbots's market value dropped 22.6%. Furthermore, on January 11, 2011, Talbots provided a Business Update which disclosed the company's expected full year adjusted earnings per share to be in the range of $0.56-$0.69 per share, a departure from its previously announced range of $0.70-$0.89 per share. The company's value dropped another 17.4%, following this news.

Robbins Umeda LLP

Must ReadView All

Apparel/Garments | On 29th Jun 2017

Amazon intends to keep investing and growing in India

American online retail giant Amazon intends to keep investing and...

Textiles | On 29th Jun 2017

Vietnam’s textile & garment exports cross $10bn till May

Vietnam earned $10... billion from textile and garment exports in the ...

Textiles | On 29th Jun 2017

Indian textile industry will reach new milestone by 2020

By 2020, textile technologies will be highly advanced not only with...

Interviews View All

Nishank Patel
Shri Dinesh Mills Limited

Broad range of fabrics will sell well this financial year

Krishnanand Tripathi
Textrade International Ltd

We believe in vocational education for entry-level employees, offering...

Frank Gossmann
Rotorcraft AG

‘RT3 motto is: Do not check millimetres, check colours.’

Johan Berlin
InvestKonsult Sweden AB

Investkonsult Sweden AB has been buying and selling second-hand textile...

Marten Alkhagen
Swerea IVF AB

Marten Alkhagen, Senior Scientist - Nonwoven and Technical Textiles of...

Mark Paterson
Technical Absorbents Ltd

Mark Paterson, R&D manager of Technical Absorbents Ltd talks about Super...

Madhu Jain
Madhu Jain

She grew up in the walled city of Old Delhi, completed her studies, and...

Prathyusha Garimella
Prathyusha Garimella

Hyderabad-based designer <b>Prathyusha Garimella</b> is known for blending ...

Tony Ward
Tony Ward

"You have to truly understand what your client wants, know her needs, what ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies


news category

Related Categories:
July 2017

July 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Browse Our Archives


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search