PHILADELPHIA, May 8, 2014 /PRNewswire/ -- Cohen, Placitella & Roth, PC is investigating claims on behalf of investors who purchased Advanced Emissions Solutions, Inc. ("Advanced Emissions" or "Company") (NASDAQ: ADES) stock between March 14, 2013 and March 12, 2014, inclusive ("Class Period"). The investigation concerns whether Advanced Emissions disseminated materially false and/or misleading information to investors in violation of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934.
Advanced Emissions is a Delaware corporation, headquartered in Highland Ranch, Colorado. Together with its subsidiaries, the Company provides environmental technologies and specialty chemicals to the coal-burning electric power generation industry, primarily in the United States. It operates through three segments: Refined Coal, Emission Control, and CO2 Capture. Throughout the Class Period, Defendants allegedly made false and/or misleading statements and/or failed to disclose that: (i) the Company was employing improper accounting practices, particularly with respect to its method for recognizing revenue for its Emission Control business segment contracts; (ii) the Company was experiencing increased operating losses, primarily driven by a reduction of revenues and margins for its Emission Control segment with a corresponding increase in backlog; (iii) the improper accounting practices would require the Company to restate its reported financial statements; and (iv) as a result of the above, the Company's financial statements were materially false and misleading at all relevant times. On March 13, 2014, Advanced Emissions announced that it would postpone its 2013 fourth quarter and year end news release and conference call, disclosing that it was reviewing its methods of revenue recognition for its Emission Control business segment. That review, the Company continued, would likely result in increased operating losses, primarily driven by a reduction of revenues and margins for that business segment with a corresponding increase in backlog. On this news, the Company's stock fell from $54.23 per share to $50.90 per share, a drop of over 6%.
If you have any information on the Company's improper revenue recognition policies or the issuance of any of the materially false and misleading statements during the Class Period, or you wish to consider serving as lead plaintiff, please contact Eduardo A. Texidor, Jr., no later than June 23, 2014, at firstname.lastname@example.org or, toll free, at 1-888-375-7600. For those investors inquiring via email, please be sure to include "Advanced Emissions" in the subject line, the number of shares purchased, and your mailing address and telephone number.
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