Shareholder Alert: Robbins LLP Informs Investors of the Class Action Filed Against Ford Motor Company (F)

Core Viewpoint - A class action lawsuit has been filed against Ford Motor Company, alleging that the company misled investors about its business prospects, particularly regarding quality assurance deficiencies and warranty costs [1][2]. Group 1: Allegations - The lawsuit claims that Ford failed to disclose deficiencies in its quality assurance of vehicle models since 2022 [1]. - It is alleged that these deficiencies led to higher warranty costs for the company [1]. - The complaint states that Ford's warranty reserves did not accurately reflect the quality issues in vehicles sold since 2022 [1]. - As a result of these issues, the lawsuit argues that Ford's profitability was likely to suffer [1]. Group 2: Financial Impact - On July 24, 2024, Ford reported that its profitability was affected by an increase in warranty reserves and higher warranty costs [2]. - The company revealed that warranty and recall costs totaled $2.3 billion in the second quarter of 2024, which was $800 million more than the first quarter and $700 million more than the same period a year prior [2]. - Following this announcement, Ford's share price dropped by $2.51, or 18.36%, closing at $11.16 per share on July 25, 2024, amid unusually heavy trading volume [2]. Group 3: Class Action Participation - Shareholders who wish to serve as lead plaintiffs in the class action must submit their papers by October 7, 2024 [3]. - Participation in the case is not required to be eligible for recovery; shareholders can remain absent class members if they choose [3].