Pearson, Simon, Warshaw & Penny, Files Class Action Lawsuit Against Facebook, Inc

Pearson, Simon, Warshaw & Penny announced that a securities class action against Facebook, Inc. its officers and directors who signed Facebook`s registration statement, and the lead underwriters for the Initial Public Offering of Facebook`s common stock. (Those underwriters include Morgan Stanley & Co. LLC, J.P. Morgan Securities LLC, Goldman, Sachs & Co., Merrill Lynch Pierce Fenner & Smith, Inc. and Barclays Capital, Inc.). This securities class action is brought on behalf of all persons and institutions who purchased Facebook common stock pursuant and/or traceable to Facebook`s IPO that commenced on May 18, 2012. The IPO, made pursuant to a registration statement filed with the Securities & Exchange Commission and declared effective on May 18, 2012, sold at least 421 million shares of Facebook common stock at a price of $38 per share. The Complaint alleges that the registration statement also failed to comply with the rules and regulations established by the SEC as to the contents and disclosures required to be made in a registration statement. In particular, the registration statement did not comply with Item 303 of SEC regulation S-K which requires that a registrant must "describe any known trends or uncertainties . . . that the registrant reasonably expects will have a material . . . unfavorable impact on . . . revenues or income from continuing operations."