British American Tobacco (BTI) Unexpected $31.5B Write Off Case

E.D. New York

Court

1:24-cv-00517

Case number

09 Feb 2023

Class period Start

06 Dec 2023

Class period End

25 Mar 2024

Lead Plaintiff motion deadline

$BTI stockholder filed a claim vs. British American Tobacco for overstating the true book value of its cigarette brands. 
After the BAT disclosed an impairment charge of $31.5B, $BTI fell 8.5%, losing $6B of shareholder value. 
On December 6, 2023, British American Tobacco disclosed that it would take an impairment charge of approximately $31.5B after reassessing the value of certain cigarette brands. 

BAT stated that it had been affected by inflation-weary customers in the U.S. downgrading to cheaper brands. 

On this news, $BTI fell 8.5% and lost ~$6 billion of its market capitalization, seriously damaging shareholders.

Based on these events, $BTI stockholder filed a claim against British American Tobacco and its leaders:
BAT is accused of understating risks to its Premium American Cigarette Brands; 
This led to investor damages when the true details surfaced, revealing the actual risks.
Considering all the representations, investors have grounds to suspect that BAT was misrepresenting the true book value of its brands.

Case Status

Lead Plaintiff Appointed

Alleged Offence

Misleading Statements,

Financial Misrepresentation,

Failure to Disclose,

Omissions

Suspected Party

Directors,

Management

Security Type

Stocks

Trade Direction

Long

Shock Event Date

06 December 2023

Filing date

24 January 2024

Lead Plaintiff Deadline

25 March 2024

Judge

Ann M Donnelly

British American Tobacco (BTI) Unexpected $31.5B Write Off Case

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