BED BATH & BEYOND (BBBY) Shareholder Derivative Action Settlement

Supreme

Court

2:20-cv-04240

Case number

01 Jun 1992

Class period Start

13 Jun 2022

Class period End

01 Aug 2022

Claim deadline

IN RE BED BATH & BEYOND INC. STOCKHOLDER DERIVATIVE LITIGATION
On January 8, 2020, BBBY withdrew its FY 2019 guidance. BBBY also reported a 3Q2019 adjusted loss of earnings per diluted share of $0.38 and an 8.3% decline in comparable sales. BBBY explained that this performance “was impacted to some extent by self-inflicted issues, like poor inventory management.” Then, on February 11, 2020, BBBY disclosed a “5.4% decline in comparable sales driven primarily by store traffic declines combined with inventory management issues,” which included “inventory within certain key categories in the [BBBY] assortment [that were] too low or out-of-stock during the period.” The Derivative Matters allege that the Individual Defendants breached their fiduciary duties by, inter alia: failing to exercise appropriate oversight over BBBY’s public statements, internal controls, and inventory management, ultimately resulting in reduced revenue and a decline in stock price; and publishing false and misleading statements regarding the same. The Federal Action also asserts claims in connection with BBBY’s repurchases of its stock at allegedly inflated prices.

Case Status

Disbursed

Alleged Offence

Mismanagement,

Misleading Statements,

Breach of Fiduciary duty

Suspected Party

Directors,

Management

Security Type

Stocks

Trade Direction

Long

Plaintiffs

Robert Schneider, Michael A. Anthony, Olufemi Salu, Kevin Grooms, Greg Mantia

Attorneys

Kahn Swick & Foti, LLC, Robbins LLP

Judge

Hon. Leon Ruchelsman

Court hearing date

06 September 2022

Settlement conditions

$2,000,000 to Plaintiffs’ Counsel for their attorneys’ fees and expenses, Corporate Governance Reforms

Trades matching type

FIFO