Textron Ducks Investor Suit Over Financial Claims

Law360, New York (September 13, 2011, 7:59 PM EDT) -- A Rhode Island federal judge on Tuesday tossed a shareholder derivative suit lodged against officials of defense manufacturer Textron Inc. that claimed the company repurchased stock at inflated prices due to misleading statements it allegedly made about its financial health.

U.S. District Judge Paul J. Barbadoro granted a dismissal motion filed by former CEO Lewis B. Campbell and former Chief Financial Officer Ted J. French, as well as 11 of the company's 13 directors. Their motion argued Textron shareholder John D. Walker didn't demand that the...
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