NEW YORK, NY / ACCESSWIRE / January 29, 2016 / Pomerantz LLP is investigating claims on behalf of investors of Swift Transportation Company ("Swift" or the "Company") (NYSE: SWFT). Such investors are advised to contact Robert S. Willoughby at rswilloughby@pomlaw.com or 888-476-6529, ext. 9980.
The investigation concerns whether Swift and certain of its officers have breached their fiduciary duties to the Company.
On January 28, 2016, post-market, The Wall Street Journal reported that Swift's CEO, Jerry Moyes, has pledged more than $600 million of his holdings in Swift--a quarter of the company's outstanding shares--as collateral for loans or loan-like contracts. As Moyes' use of his stock as margin-loan collateral exceeded limits set by Swift's board, the company's directors repeatedly granted Moyes extensions of time to meet those limits. On January 26, after spending $100 million on share repurchases in November 2015 and January 2016, Moyes announced that he wanted Swift to spend $200 million buying back more shares--a buyback that would retire approximately 9% of Swift's stock, supporting its price and easing pressure on Moyes's margin loans.
On this news, Swift stock has fallen as much as 2%, or $0.33, to $15.70 on January 29, 2016.
The Pomerantz Firm, with offices in New York, Chicago, Los Angeles, and Florida, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, the Pomerantz Firm pioneered the field of securities class actions. Today, more than 70 years later, the Pomerantz Firm continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomerantzlaw.com.
SOURCE: Pomerantz LLP
