8-KOther Events

FIRST SOLAR, INC. 8-K Report, Corporate Update (Nov 20, 2018)

Filed November 20, 2018For Securities:FSLR

Summary

This 8-K filing supplements information regarding a class action lawsuit previously disclosed in First Solar's (FSLR) Form 10-Q. The lawsuit, Smilovits v. First Solar, Inc., et al., alleges violations of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 due to allegedly false and misleading statements regarding the company's financial performance and prospects between April 30, 2008, and February 28, 2012. Key developments reported include the Ninth Circuit affirming a previous court order and the company's petition for a writ of certiorari to the U.S. Supreme Court. As a result of the pending certiorari petition, the trial date previously scheduled for November 19, 2018, has been vacated. Investors should monitor the U.S. Supreme Court's decision on the certiorari petition, as it could impact the ongoing litigation and potential financial liabilities for First Solar.

Key Highlights

  • 1First Solar (FSLR) is providing an update on the Smilovits v. First Solar, Inc. class action lawsuit.
  • 2The lawsuit alleges violations of securities laws based on alleged misstatements concerning financial performance and prospects from April 30, 2008, to February 28, 2012.
  • 3The Ninth Circuit Court of Appeals has affirmed a prior order from the Arizona District Court regarding the lawsuit.
  • 4First Solar has filed a petition for a writ of certiorari with the U.S. Supreme Court.
  • 5The trial date, originally set for November 14, 2018, has been vacated pending the U.S. Supreme Court's decision on the certiorari petition.
  • 6The outcome of the certiorari petition could significantly affect the company's legal standing and potential financial exposure.

Frequently Asked Questions

The class action lawsuit, Smilovits v. First Solar, Inc., et al., alleges that First Solar and certain current and former directors and officers violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934. The core allegation is that the company made false and misleading statements about its financial performance and future prospects during the period from April 30, 2008, to February 28, 2012.

The case has progressed through the Arizona District Court and the Ninth Circuit Court of Appeals. The Ninth Circuit affirmed a prior court order. First Solar has filed a petition for a writ of certiorari to the U.S. Supreme Court, and the Court has not yet ruled on this petition. Consequently, the trial date has been vacated.

The U.S. Supreme Court's decision on whether to grant or deny the writ of certiorari is critical. If certiorari is granted, the Supreme Court would review the case, potentially impacting the legal proceedings and First Solar's potential liabilities. If certiorari is denied, the case would likely proceed based on the Ninth Circuit's ruling, and the trial would be rescheduled.

The trial was originally scheduled to begin on November 14, 2018. It has been vacated because First Solar filed a petition for a writ of certiorari to the U.S. Supreme Court, and the trial court is waiting for a decision on that petition before proceeding.