The law firm of Lieff, Cabraser, Heimann & Bernstein, LLP announces that a class action lawsuit has been brought on behalf of all persons who purchased the securities of Bridgepoint Education, Inc. (“Bridgepoint” or the “Company”) (NYSE: BPI) between May 3, 2011 and July 12, 2012, inclusive (the “Class Period”). If you purchased Bridgepoint securities during the Class Period, you may move the Court for appointment as lead plaintiff by no later than September 11, 2012. A lead plaintiff is a representative party who acts on behalf of other class members in directing the litigation. Your share of any recovery in the action will not be affected by your decision of whether to seek appointment as lead plaintiff. You may retain Lieff Cabraser, or other attorneys, as your counsel in the action. Bridgepoint shareholders who wish to learn more about the action and how to seek appointment as lead plaintiff should click here or contact Sharon Lee of Lieff Cabraser toll free at (800) 541-7358. Background on the Bridgepoint Securities Class Action Bridgepoint is a provider of postsecondary education services. The action charges Bridgepoint and certain of its offices and directors with violations of the federal securities laws. The complaint alleges that, throughout the Class Period, Defendants made materially false and/or misleading statements and/or failed to disclose that: (i) the Company failed to implement adequate plans, procedures and practices to assist students in completing the academic programs in which they had enrolled; (ii) the Company failed to align resources with educational requirements, hampering its students’ ability to progress to acceptable levels; (iii) the Company's Ashford University failed to maintain an adequate number of faculty and programs, resulting in poor instruction and low student completion rates; (iv) the Company had inadequate review procedures such that shortfalls in completion rates were not identified and remedied in a timely manner; and (v) Ashford University failed to maintain an empowered and independent governing board.
The Complaint alleges that in May and June 2011, the Western Association of Schools and Colleges (“WASC”) notified Ashford of several concerns it had regarding the institution’s future accreditation. Thus, the Company had been advised that Ashford’s accreditation was at risk.On July 9, 2012, the Company disclosed that Ashford University had been denied initial accreditation by WASC’s Accrediting Commission for Senior Colleges and Universities due to its failure to demonstrate "substantial compliance with certain of the WASC Standards for Accreditation." On this news, the price of Bridgepoint common stock fell $7.25, or more than 33%, to close at $14.25 per share on July 9, 2012. Then, on July 13, 2012, the Company disclosed that Ashford had received a letter from the Higher Learning Commission of the North Central Association of Schools and Colleges (“HLC”) requiring Ashford "to provide certain information and evidence of compliance with HLC accreditation standards." On this news, Bridgepoint stock fell an additional $3.20, or almost 25%, to close at $9.77 per share on July 13, 2012. About Lieff Cabraser Lieff, Cabraser, Heimann & Bernstein, LLP, with offices in San Francisco, New York and Nashville, is a nationally recognized law firm committed to advancing the rights of investors and promoting corporate responsibility. Since 2003, the National Law Journal has selected Lieff Cabraser as one of the top plaintiffs’ law firms in the nation. In compiling the list, the National Law Journal examined recent verdicts and settlements in addition to overall track records. Lieff Cabraser is one of only two plaintiffs’ law firms in the United States to receive this honor for the last nine consecutive years. For more information about Lieff Cabraser and the firm’s representation of investors, please visit http://www.lieffcabraser.com. This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.