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TMCNet:  Rigrodsky & Long, P.A. Announces A Securities Fraud Class Action Lawsuit Has Been Filed Against InnerWorkings, Inc.

[February 28, 2014]

Rigrodsky & Long, P.A. Announces A Securities Fraud Class Action Lawsuit Has Been Filed Against InnerWorkings, Inc.

WILMINGTON, Del. --(Business Wire)--

Rigrodsky & Long, P.A.:

  • Do you, or did you, own shares of InnerWorkings, Inc. (NASDAQ GS: INWK)?
  • Did you purchase your shares before February 15, 2012, or between February 15, 2012 and November 6, 2013, inclusive?
  • Did you lose money in your investment in InnerWorkings, Inc.?
  • Do you want to discuss your rights?

Rigrodsky & Long, P.A., including former Special Assistant United States Attorney, Timothy J. MacFall, announces that a complaint has been filed in the United States District Court for the Northern District of Illinois on behalf of all persons or entities that purchased the common stock of InnerWorkings, Inc. ("InnerWorkings" or the "Company") (NASDAQ GS: INWK) between February 15, 2012 and November 6, 2013, inclusive (the "Class Period"), alleging violations of the Securities Exchange Act of 1934 against the Company and certain of its officers (the "Complaint").

If you purchased shares of InnerWorkings during the Class Period, or purchased shares prior to the Class Period and still hold InnerWorkings, and wish to discuss this action or have any questions concerning this notice or your rights or interests, please contact info@rl-legal.com; or at: http://www.rigrodskylong.com/investigations/innerworkings-inc-inwk.

InnerWorkings is a leading provider of global print management and promotional solutions to corporate clients across a wide range of industries. The Complaint alleges that throughout the Class Period, defendants made materially false and misleading statements, and omitted materially adverse facts, about the Company's business, operations and prospects. Specifically, the Complaint alleges that the defendants concealed from the investing public that: (i) the Company inflated its revenues in violation of Generally Accepted Accounting Principles ("GAAP"); (ii) the Company artificially inflated its cash flows and adjusted EBITDA; and (iii) as a result of the foregoing, the Company's financial statements were materially false and misleading at all relevant times. As a result of defendants' false and misleading statements, the Company's stock traded at artificially inflated prices during the Class Period.

According to the Complaint, on April 16, 2013, after the market closed, the Company revised its full year 2013 guidance due to a reduction of work orders by a large retail client. The following day, shares in InnerWorkings declined more than 25%, closing at $10.48 per share on April 17, 2013. Then, on April 30, 2013, Prescience Point Research Group published an analyst report with a "Strong Sell" recommendation, alleging among other things, that the Company was inflating its revenues by misapplying gross revenue and net accounting. This news caused shares in InnerWorkings to decline more than 3%, closing at $10.07 per share that same day.

On November 6, 2013, the Company announced lower than expected earnings per share, primarily due to issues with its Production Graphics division. Shares in InnerWorkings dropped more than 40% on this news, closing at $5.64 per share on November 7, 2013, on unusually heavy trading volume of nearly 9 million shares.

Lastly, the Company recently announced on February 18, 2014 that it would need to restate its financial statements for all periods extending to the fourth quarter of 2011 through the third quarter of 2013.

If you wish to serve as lead plaintiff, you must move the Court no later than April 28, 2014. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member's claim is typical of the claims of other class members, and that the class member will adequately represent the class. Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. Any member of the proposed class may move the court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member.

While Rigrodsky & Long, P.A. did not file the Complaint in this matter, the firm, with offices in Wilmington, Delaware and Garden City, New York, regularly litigates securities class, derivative and direct actions, shareholder rights litigation and corporate governance litigation, including claims for breach of fiduciary duty and proxy violations in the Delaware Court of Chancery and in state and federal courts throughout the United States.

Attorney advertising. Prior results do not guarantee a similar outcome.


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