| COMPANY |
Avon Products, Inc. |
| COURT |
United States District Court for the Southern District of New York |
| CASE NUMBER |
19-cv-01420 |
| JUDGE |
The Honorable Mary Kay Vyskocil |
| CLASS PERIOD |
January 21, 2016 and November 1, 2017 |
| SECURITY TYPE |
Common Stock |
Case Background:
On February 14, 2019, the initial complaint in this securities class action was filed against Avon Products, Inc. (“Avon”), and certain of Avon’s officers and directors, asserting violations of sections 10(b) and 20(a) of the Securities Exchange Act.
The Complaint alleges that in order to inflate its reported revenue and representative growth metric during the class period, Avon engaged in an undisclosed scheme whereby it significantly loosened its credit terms in order to recruit new representatives in Brazil, its largest market. Avon did not disclose the changes to its credit terms in Brazil. Avon also failed to increase its allowance for doubtful accounts to account for the changes to its credit terms in Brazil.
This is a federal securities class action on behalf of all persons and entities who purchased or otherwise acquired the publicly traded common stock of Avon during the period from January 21, 2016 to November 1, 2017, inclusive.
Current Status of Case:
The parties informed the Court on July 3, 2020, that they had reached a Settlement following mediation. On August 21, 2020, the parties entered into a Stipulation and Agreement of Settlement to settle the action in the amount of $14,500,000. The Court granted Preliminary Approval of the Settlement on August 31, 2020. The Court fully approved the Settlement on February 3, 2021. This action has concluded.
If you wish to discuss this action or have any questions concerning this notice or your rights or interests with respect to these matters, please contact Kessler Topaz Meltzer & Check, LLP: Jon Naji, Esq. (484) 270-1453; or via e-mail at info@ktmc.com. If you would like additional information about the suit, please click on the link "Submit Your Information" above and fill out the form as promptly as possible.