PARIS — Shares in Pandora A/S fell Thursday after a group of investors said it had sued the Danish jewelry company and its president and chief executive officer Allan Leighton for compensation for losses suffered after the brand issued a profit warning in 2011.Shares declined 3.1 percent to close Thursday at 382.40 Danish kroner, or $68.78 at current exchange, having at one point slid 5.3 percent to 373.3 Danish kroner, or $67.07, in early afternoon trading.A statement issued by Belgian law firm Deminor, the legal representative of a group of 36 “mainly institutional” investors, said “the regulatory commission of the Copenhagen Stock Exchange and the Danish Financial Supervisory Authority each concluded that Pandora should have communicated a profit warning at an earlier stage than 2 August 2011.”The profit warning had downgraded the company’s 2011 sales projections, causing Pandora’s shares to plummet 65.4 percent in a single trading day which, according to the plaintiffs, resulted in the destruction of 12.5 billion Danish kroner, or $2.3 billion at average exchange, of the brand’s market value.Erik Bomans, partner at Deminor, told WWD the amount of compensation the law firm is seeking for its clients would be calculated once the exact period during which Pandora allegedly provided “misleading information” has been determined by the Danish court that will examine the case. The period in question could be anytime between October 2010, when the company went public, and Aug. 2, 2011. According to Bomans, alarm bells should have rung when, in March 2011, the jewelry brand issued guidance for growth of 25 percent, below market expectations, causing the stock to plunge. On April 18, the company said growth could reach 30 percent, although negative customer reactions to price increases and slowing sales indicated otherwise, the lawyer said. “That was reckless,” argued Bomans, who believes his clients have a strong case in light of the two regulatory bodies’ rulings against Pandora. “We can’t imagine losing this, even though Pandora denies all responsibility.” The case is also being investigated by the Danish Public Prosecutor for Serious Economic Crimes.A spokesman for Pandora confirmed the company had been subpoenaed, but would not comment further.
To celebrate Pride 2018, @themarcjacobs released the #GratefulNotHateful campaign, a social media initiative aimed at extending Pride beyond the parade. Inspired by Jacobs’ everyday outlook, the campaign features Jacobs along with a group of models and social media stars who are members and supporters of the LGBT community, all seen wearing @marcbeauty’s Highliner Gel Eye Crayons in colors of the rainbow. Head to our Instagram stories to see close-ups of the liner. #wwdbeauty
Virgil Abloh’s dad Nee and Don Crawley, cofounder of RSVP Gallery, were some of the hometown crew at the Chicago-born designer’s debut show for Louis Vuitton. (📸: @jdiderich ) #wwdmens #louisvuitton #virgilabloh
About last night: @marycharteris and @adwoaaboah hit up Hyde Park for the Serpentine Galleries’ annual summer party held in partnership with @chanelofficial. Head to WWD.com to see more photos. #wwdfashion
“This is Paris, my first show. I’m all about democracy. If some kid shows up, flew from New Jersey to just be around, let’s get him a seat.” — @virgilabloh tells WWD’s @jdiderich ahead of his first show for @louisvuitton men’s. (📸: @alfredo_piola ) #wwdmens #virgilabloh #louisvuitton
“Kate Spade was a true fashion icon who brought joy to the lives of women around the world, and inspired women to live life to the fullest. We are dedicated to carrying on her legacy,” said Anna Bakst, brand president and chief executive officer of @katespadeny. The Kate Spade Foundation announced that it will be donating $1 million to suicide prevention and mental health awareness in tribute to the recent death of Kate Spade. Read more on WWD.com. #wwdnews (📷: @chinseephoto)
A first look at @virgilabloh’s sneakers for @louisvuitton. Abloh spoke to WWD about his debut collection for Louis Vuitton, creating @kendalljenner’s #metgala outfit and redefining the heritage brand. Read the full story on WWD.com. #wwdfashion 📷: @alfredo_piola)
The world’s largest producer of denim @iskodenim is sharing the strategy behind its product development process. Read our full interview with ISKO’s product development manager Baris Ozden on the company’s extensive research practices, upcoming denim trends and the latest material innovations on WWD.com. #iskodenim