US law firm's lawsuit against Orchid Pavilion Group

Beijing time October 19 Morning News, U.S. law firm Levi & Korsinsky announced in Friday, the firm has represented the June 6, 2013 to August 19, 2013 to buy the Orchid Pavilion set potential (NYSE:LITB) stock investors, A group lawsuit was launched at the New York State Southern District Court in the United States.

The allegation is that, in this time period, the defendant made a false and/or misleading statement and did not disclose the following information: (a) the sales growth rate of the orchid Pavilion was significantly reduced in the second quarter of 2013; (b) The cost growth of the pavilion in the second quarter of 2013 exceeded sales; (c) Without disclosing such information, the Pavilion has been unable to achieve the financial performance that the market expects it can achieve in this time period.

Orchid Pavilion Set in August 19, 2013 announced the second quarter earnings. The report showed that the quarter's performance was far less than expected. The pavilion also reported further that demand for its products was far weaker than previously stated. On the following day, the shares of the pavilion rose from the 19.27 dollar closing price of 19th, closing at $11.58.