Kahn Swick & Foti, LLC ("KSF") and KSF partner, Former Attorney General of Louisiana, Charles C. Foti, Jr., announce the commencement of the firm's securities class action lawsuit against Royal Caribbean Cruises Ltd. ("Royal Caribbean" or the "Company") . The lawsuit was filed in the United States District Court for the Southern District of Florida on behalf of purchasers of the securities of Royal Caribbean between January 27, 2011 and July 28, 2011, inclusive (the "Class Period")
About the Lawsuit
Royal Caribbean and certain of its officers and directors are charged with making a series of materially false and misleading statements related to the Company's business and operations in violation of the Securities Exchange Act of 1934.
The complaint alleges that on July 28, 2011, Royal Caribbean revealed for the first time that it was performing below expectations and that errors in previous accounting treatment of interest expense relating to its amortization of certain financing fees, had resulted in the revision of the Company's past financial statements. Besides announcing second quarter earnings per share of 47 cents that were revised to 43 cents because of the interest expense treatment, Royal Caribbean announced that 2011 earnings would be reduced by 20 cents, within a range of $2.85 to $2.95. Subsequently, shares of Royal Caribbean fell 13% on July 28, 2011 to below $31 per share on high volume of over 11.32 million shares.