FedEx Shareholder Investigation: Class Action Lawsuit Filed

Lawsuit alleges that after the crippling cyber-attack known as NotPetya, FedEx falsely assured investors that its negative impact on newly acquired business

Thornton Law Firm LLP has filed a lawsuit against FedEx Corporation on behalf of FedEx shareholders (NYSE ticker: FDX). FedEx investors who have purchased at least 500 shares of FedEx stock between September 19, 2017 and December 18, 2018.

Interested FedEx shareholders have until August 26, 2019 to apply to be lead plaintiff. The lawsuit alleges violations of the federal securities laws, and the class has not yet been certified. Until certification occurs, you are not represented by an attorney. If you choose to take no action, you can remain an absent class member.

The lawsuit alleges that after the crippling cyber-attack known as NotPetya, FedEx falsely assured investors that its negative impact on newly acquired business, TNT, was minimal and recovery was on track.  Allegedly, false and misleading statements were made in regard to the anticipated costs and timeframe it would take to integrate and restore the TNT network. FedEx is also alleged to have failed to disclose important details of TNT’s deteriorating business, including slowed down overall package volume growth, an increased shift in product mix from higher-margin parcel services to lower-margin freight services, and failure to stay on track to achieve synergy targets.  As a result of this news becoming public, FedEx stock dropped over 12 percent. The lawsuit seeks to recover this loss for shareholders who purchased during the Class Period.

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