Toyota's Second Shoe Drops: Shareholders Sue

[DainBramaged]

In the wake of one of the most devastating recalls in auto history, Toyota Motor (TM) now has another problem on its hands: Angry shareholders.

Toyota faces several pending class actions that allege it publicly dismissed the seriousness of several design flaws while knowing that the problems might have caused a dramatic sell-off of Toyota shares.

Bernard M. Gross, one of the law firms that filed a shareholder suit against Toyota, claims the company continually blamed acceleration problems on floor mats, leading shareholders and car owners to believe that the design problems weren't as fundamental or serious as they actually turned out to be.

As a result of Toyota's public brush-off of the issue, its shares were artificially inflated, the lawsuit claims. Toyota's stock peaked at $91.78 on Jan. 10, before steadily sliding after the company ultimately did acknowledge that the acceleration problem existed even without floor mats. American Depositary Receipts (ADRs) of Toyota were most recently trading at $79.56.

http://www.dailyfinance.com/story/company-news/toyotas-second-shoe-drops-shareholders-sue/19408863/

[Joey Kidd]

1. Great ! n/t

[yodoobo]

2. It could be worse

They could be bankrupt.

Big companies buy insurance to defend or payoff shareholder suits.

Regardless of the merits of the case, it won't be Toyota paying off this suit, it'll be their insurance company.

This one will probably be settled out of court with a payment or dividend to shareholders

[PBS Poll-435]

3. Bless their little hearts. nt

[DainBramaged]

4. Why don't you start an anti-GM or Ford thread

your defense of these scumbags is becoming ludicrous.

[xultar]

8. Hello Lover! I don't see you for days, then the moment a Toyota thread is posted...

You show up like a Tom cat. I feel used so I'm breaking up with you.

[spanone]

5. if you take the shareholders money, you better be ready to answer to them. they own you.

[TexasObserver]

6. Good. The shareholders can hold responsible all the guilty execs.

They're lucky it's Japan. In China, these guys would hang in the next couple of months.

[liberal N proud]

7. And they are the only ones that Toyota cares about

At our company we have map that shows all the components of business, it all revolves around the investor.


GREED!
GREED!
GREED!

[PBS Poll-435]

9. Toyota: Shares Moving Forward

http://blogs.wsj.com/marketbeat/2010/03/23/toyota-shares-moving-forward/

By Matt Phillips
Don’t look now, but American depositary receipts of Toyota Motor are moving forward.

The shares broke through their 50-day moving average Monday. Tuesday they’re up 2.5%.So far in March they’re up, 9.7%, outpacing the 6.2% gain in the S&P.

The recent run has erased some of the steep falloff Toyota shares saw as a result of the company’s highly publicized issues with reports of uncontrolled acceleration by some customers. But the shares are still down 2.7% in 2010.


:rofl:

[OhioChick]

10. Good n/t