A class-action lawsuit was filed against Six Flags Entertainment Corporation for violations of 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder by the U.S. Securities and Exchange Commission.
The class, in this case, has not yet been certified, and until certification occurs, you are not represented by an attorney. If you choose to take no action, you can remain an absent class member.
According to the Complaint, the Company made false and misleading statements to the market. Six Flags suffered from park development delays in China with partner Riverside. The delays were not “short-term” by any reasonable definition; in fact, the delays were both long-term and material in nature. Riverside was in a state of severe financial distress and did not have the resources necessary to complete its projects with the Company. Based on these facts, the Company’s public statements were false and materially misleading throughout the class period. When the market learned the truth about Six Flags, investors suffered damages.