Lawyers hired to investigate Royal Caribbean's accounting error
At Royal Caribbean's second quarter 2011 quarterly results yesterday, Royal Caribbean announced an accounting error that has resulted in double digit drop in Royal Caribbean's stock price. Today, corporate litigators Bronstein, Gewirtz & Grossman, LLC is investigating potential claims concerning whether Royal Caribbean and certain of its officers and directors have violated federal securities laws.
Royal Caribbean had said it would have to revise prior statements because of an error in the way it accounted for interest expense for amortizing financing fees. It reduced its full-year earning guidance by 10 cents per share even without the accounting change, and by 20 cents per share with the change. On this news, shares of Royal Caribbean plunged 10%, or over $3.25 per share.