SHAREHOLDER ALERT: The Pomerantz Law Firm announces the filing of a class action lawsuit against Lamb Weston Holdings, Inc.

NEW YORK, July 10, 2024 /PRNewswire/ — Pomerantz LLP announces that a class action lawsuit has been filed against Lamb Weston Holdings, Inc. (“Lamb Weston” or the “Company”) (NYSE: LW). Investors are urged to contact Danielle Peyton at (email protected) or 646-581-9980 (or 888.4-POMLAW), toll-free, extension 7980. For inquiries by email, you will be asked to provide your mailing address, telephone number and the number of shares purchased.

The class action lawsuit concerns whether Lamb Weston and certain of its officers and/or directors engaged in securities transactions Fraud or other unlawful business practices.

You have until 12 August 2024to ask the Court to appoint you as lead plaintiff for the class if you are a shareholder who purchased or otherwise acquired Lamb Weston securities during the Class Period. A copy of the complaint is available atT www.pomerantzlaw.com.

(Click here for information on joining the class action lawsuit.)

At 4 April 2024Lamb Weston reported financial results for the third quarter of fiscal 2024 and announced significant issues with the transition to its new Enterprise Resource Planning (“ERP”) software system, which was designed to interface with key aspects of Lamb Weston’s business and operations, including, but not limited to, inventory levels and customer order deliveries. The system malfunctioned, causing the Company to lose over 130 million US dollars in the third quarter of fiscal year 2024 and reduces its revenue forecast for the full fiscal year by 330 million US dollarsin the middle. The unsuccessful ERP conversion resulted in “reduced visibility of finished goods inventory in ( ) distribution centers,” which negatively impacted the company’s ability to fulfill customer orders, resulting in delivery delays and canceled orders. Overall, the ERP conversion had a negative impact on Lamb Weston’s net sales by 135 million US dollarsNet profit of 72 million US dollarsand adjusted EBITDA of 95 million US dollarswith more than half of this being due to lower sales and unfulfilled customer orders and the remainder to additional costs and expenses directly related to the ERP conversion. For the third quarter of fiscal 2024, the company also reported a 17% decline in sales volume in North America compared to the previous year, of which Lamb Weston attributed more than half to the ERP conversion. Weston also reduced its financial outlook for fiscal year 2024, including a 330 million US dollars Reducing the sales forecast to the mean. Lamb Weston announced that it expects its fourth quarter sales volumes to be negatively impacted by some customers in North America who were affected by the botched ERP conversion because these customers were supplied by Lamb Weston’s competitors.

Following this news, Lamb Weston’s share price fell 19,59 € per share or 19.4% and closed at $81.53 per share on 4 April 2024.

Pomerantz LLP, with offices in new York, Chicago, Los Angeles, London, ParisAnd Tel-Avivis considered one of the leading law firms in the areas of corporate, securities and antitrust litigation. Founded by the late Abraham L. PomerantzKnown as the dean of class action lawyers, Pomerantz was a pioneer in the field of securities class action litigation. Today, more than 85 years later, Pomerantz continues the tradition he established and fights for the rights of victims of securities class action litigation. FraudBreach of fiduciary duty and corporate misconduct. The firm has won billions of dollars in damages on behalf of class action plaintiffs. See www.pomlaw.com.

Attorney advertising. Past results do not guarantee similar results.

CONTACT:
Danielle Peyton
Pomerantz LLP
(email protected)
646-581-9980 extension 7980

Never miss a story from Pomerantz LLP again.