A lawsuit was filed on behalf of investors in DXC Technology Company (NYSE: DXC) shares over alleged securities laws violations.
San Diego, CA -- (SBWIRE) -- 10/03/2019 -- An investor, who purchased shares of DXC Technology Company (NYSE: DXC), filed a lawsuit over alleged violations of Federal Securities Laws by DXC Technology Company.
Investors who purchased shares of DXC Technology Company (NYSE: DXC) in connection with the April 2017 transaction by which Hewlett Packard Enterprise Company's Enterprise Services segment was spun off and merged with Computer Sciences Corporation, Inc. to form DXC Technology Company, have certain options and for certain investors are short and strict deadlines running. Deadline: November 15, 2019. NYSE: DXC investors should contact the Shareholders Foundation at firstname.lastname@example.org or call +1(858) 779 - 1554.
Tysons, VA based DXC Technology Company, together with its subsidiaries, provides information technology services and solutions primarily in North America, Europe, Asia, and Australia.
In April 2017 Hewlett Packard Enterprise Company's Enterprise Services segment was spun off and merged with Computer Sciences Corporation, Inc. to form DXC Technology Company.
On February 6, 2019, a civil complaint was filed, alleging that certain officers of DXC Technology Company were heavily focused on using cost-cutting efforts and layoffs to inflate short-term financial metrics and that these efforts substantially impaired the Company's ability to deliver contractually required services to clients.
On August 8, 2019, after the market closed, DXC Technology Company lowered its fiscal 2020 guidance, expecting revenue between $20.2 billion and $20.7 billion, representing a $500 million shortfall from previously-issued guidance.
The plaintiff claims that the Defendants failed to disclose to investors that the planned "workforce optimization" plan involved implementing arbitrary quotas, that the plan would cut thousands of jobs at the Company, that jobs that were particularly at risk of being cut were held by longer-tenured, knowledgeable, and highly compensated senior personnel, that these job terminations were selectively timed to artificially inflate reported earnings and other financial metrics, that, at the time of the Merger, defendant Lawrie had forecasted plans for a $2.7 billion workforce reduction in the first year, that, as a result of these workforce terminations, the Company was unlikely to deliver on client contracts, that, as a result of the foregoing, the Company's clients would be dissatisfied and the relationships would be impaired, and that, as a result of the foregoing, Defendants' positive statements about the Company's business, operations, and prospects, were materially misleading and/or lacked a reasonable basis.
Those who purchased shares of DXC Technology Company (NYSE: DXC) have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
3111 Camino Del Rio North - Suite 423
92108 San Diego
About Shareholders Foundation, Inc.
The Shareholders Foundation, Inc. is a professional portfolio monitoring and settlement claim filing service, , which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. Shareholders Foundation, Inc. is in contact with a large number of shareholders and offers help, support, and assistance for every shareholder. The Shareholders Foundation, Inc. is not a law firm. Referenced cases, investigation, and/or settlements are not filed/reached and/or related to Shareholders Foundation. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.
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