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Kansas City Southern KCS Securities Lawsuit

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Company: Kansas City Southern
Ticker Symbol: KCS
Class Period: Oct-18-13 to Feb-18-14
Date Filed: Apr-15-14
Lead Plaintiff Deadline: Jun-14-14
Court: Western District of Missouri
Allegations:
New York, NY: A securities class action has been commenced in the United States District Court for the Western District of Missouri on behalf of purchasers of Kansas City Southern ("KCS") (NYSE:KSU) common stock during the period between October 18, 2013 and February 18, 2014 (the "Class Period").

The complaint charges KCS and certain of its officers and directors with violations of the Securities Exchange Act of 1934. KCS operates railroads in the Midwest and Mexico that run north to south, unlike most other U.S. railroads that run east to west.

The complaint alleges that during the Class Period, KCS issued materially false and misleading statements regarding the Company' financial performance and future prospects and failed to disclose the following adverse facts: (i) that KCS' utility coal volumes and crude oil shipments were declining below forecasted levels during its 2013 fourth quarter; (ii) that the construction of the Company' new Port Arthur crude oil terminal was experiencing operational difficulties which was delaying its completion and the Company' realization of the benefits from the plant; (iii) that carloads in the Company' Chemical & Petroleum shipments to Mexico had declined during the fourth quarter of 2013 due to operational issues with the Company' customers in Mexico; (iv) that KCS' anticipated ramp-up of its Mexican auto shipment business was not advancing to the degree KCS led the market to believe, as the new plants were not coming on-line and there would be a negligible benefit to KCS' revenues and profits in 2014; and (v) that Mexican government officials were privately clamoring to take back or control the monopoly pricing power KCS had by way of an agreement giving KCS and another company exclusive use of tracks in Mexico. As a result of defendants' false and misleading statements and omissions, KCS common stock traded at artificially inflated prices during the Class Period, reaching a high of $125.96 per share on November 14, 2013.

If you acquired the securities of the defendants during the Class Period you may, no later than the Lead Plaintiff Deadline shown above, request that the Court appoint you as lead plaintiff through counsel of your choice. You may also choose to remain an absent class member. A lead plaintiff must meet certain requirements.

Kansas City Southern KCS Securities Fraud Legal Help

If you have suffered from financial losses, you may qualify for damages or remedies that may be awarded in a possible Kansas City Southern securities class action lawsuit. Please click the link below to submit your complaint for a free evaluation.

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