SEC Drops Pixar Probe, Class Action Continues

Law360, New York (March 8, 2006, 12:00 AM EST) -- The U.S. Securities and Exchange Commission has ended its informal investigation into digital animation company Pixar Animation Studios Inc., which began after sluggish DVD sales of “The Incredibles” caused the firm to miss its Wall Street earnings.

The investigation was launched in August 2005, two months before investors filed a securities fraud class action lawsuit against Pixar as a result of the poor sales. Pixar made the SEC’s action public only through its quarterly filing with the agency.

The SEC ended the probe in February after...
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