Warner Bros. Discovery(US:WBD) Prnewswireยท2024-12-19 10:45Core Viewpoint - The Gross Law Firm has issued a notice to shareholders of Warner Bros. Discovery, Inc. regarding a class action lawsuit due to alleged misleading statements and omissions related to the company's financial health and goodwill [1][2]. Group 1: Allegations and Financial Impact - The complaint alleges that during the class period from February 23, 2024, to August 7, 2024, Warner Bros. Discovery (WBD) made materially false and misleading statements [2]. - It is claimed that WBD's negotiations for sports rights with the NBA were likely to cause a significant reevaluation of its business and goodwill [2]. - The goodwill in WBD's Networks segment is reported to have significantly deteriorated due to the disparity between its market capitalization and book value, along with ongoing softness in certain U.S. advertising markets [2]. - The allegations suggest that WBD may incur billions of dollars in goodwill impairment charges as a result of these issues [2]. - Consequently, the defendants are accused of overstating WBD's overall business and financial prospects, leading to materially false and misleading public statements [2]. Group 2: Class Action Details - The deadline for shareholders to register for the class action is January 24, 2025, and there is no cost or obligation to participate [3]. - Shareholders who register will be enrolled in a portfolio monitoring software to receive updates throughout the lifecycle of the case [3]. - The Gross Law Firm emphasizes its commitment to protecting investors' rights and ensuring responsible business practices [4].