| Company: | The Hartford Financial Services Group Inc, |
| Ticker Symbol: | HIG |
| Class Period: | Dec-10-07 to Feb-5-09 |
| Date Filed: | Apr-12-10 |
| Lead Plaintiff Deadline: | Jun-11-10 |
| Court: | Southern District of New York |
| Allegations: | |
The complaint accuses the defendants of violations of the Securities Exchange Act of 1934 because, contrary to the Company's assurances during the Class Period that the Company's capital position was sound and could fully support its current credit rating, the Company's regulatory capital position was weak and deteriorating as a result of the Company building massive exposure to losses from derivative investments, including credit default swap contracts, way beyond the "corporate bond" risk references included in The Hartford's quarterly conference calls with analysts, the Company's leveraged risk through a securities lending program in which it invested the cash collateral it received from third-party lenders in extremely risky investments, including residential and commercial mortgage-backed securities, the Company's hedging program becoming increasingly expensive to maintain due to high volatility in the equity markets, and the Company's exposure to the U.S. real estate market and credit default swap contracts.
In addition, the complaint alleges that during the Class Period, the Company overstated its book value by not accruing for liabilities for repayment of workers compensation insurance premiums consistent with what was actually justified.
According to the complaint, after the Company report unexpectedly poor fourth quarter and 2008 year-end financial results on February 5, 2009, the value of The Hartford's stock declined significantly.
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.
