OWINGS MILLS, Md., April 1, 2013 /PRNewswire/ -- Medifast, Inc.
(NYSE: MED), a leading United
States manufacturer and provider of clinically proven,
portion-controlled weight-loss products and programs, today
announced the favorable resolution of a securities class action
lawsuit initiated in March, 2011.
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Maryland U.S. District Judge George L.
Russell III said he agreed with Medifast's argument that the
financial restatements in March, 2010 due to discovered errors in
its tax calculations were the result of rapid growth and a
transition to a new auditing team.
"We are very pleased with the federal judge's ruling and support
of Medifast," commented Michael C.
MacDonald, Medifast's Chairman and Chief Executive Officer.
"We believe we have the right team in place and have implemented
much improved financial reporting processes and procedures to
continue to support the future growth of our multi-channel business
model with Take Shape for Life, Medifast Direct, and the Medifast
Weight Control Center and Wholesale Physicians sales channels."
About Medifast
Medifast (NYSE: MED) is the leading easy-to-use, clinically
proven, portion-controlled weight-loss program. The company sells
its products and programs via four unique distribution channels: 1)
the web and national call centers, 2) the Take Shape For Life
personal coaching division, 3) Medifast Weight Control Centers, and
4) a national network of physicians. Medifast was founded in 1980
and is located in Owings Mills,
Maryland. For more information, log onto
www.MedifastNow.com.
Forward Looking Statements
Please Note: This release contains "forward-looking statements"
within the meaning of Section 27A of the Securities Act of 1933, as
amended, Section 21E of the Securities Exchange Act of 1934, as
amended, and the Private Securities Litigation Reform Act of 1995.
These forward-looking statements generally can be identified by use
of phrases or terminology such as "intend" or other similar words
or the negative of such terminology. Similarly, descriptions of
Medifast's objectives, strategies, plans, goals or targets
contained herein are also considered forward-looking statements.
Medifast believes this release should be read in conjunction with
all of its filings with the United States Securities and Exchange
Commission and cautions its readers that these forward-looking
statements are subject to certain events, risks, uncertainties, and
other factors. Some of these factors include, among others,
Medifast's inability to attract and retain independent Health
Coaches and Members, stability in the pricing of print, TV and
Direct Mail marketing initiatives affecting the cost to acquire
customers, increases in competition, litigation, regulatory
changes, and its planned growth into new domestic and international
markets and new channels of distribution. Although Medifast
believes that the expectations, statements, and assumptions
reflected in these forward- looking statements are reasonable, it
cautions readers to always consider all of the risk factors and any
other cautionary statements carefully in evaluating each
forward-looking statement in this release, as well as those set
forth in its latest Annual Report on Form 10-K and Quarterly Report
on Form 10-Q, and other filings filed with the United States
Securities and Exchange Commission, including its current reports
on Form 8-K. All of the forward-looking statements contained herein
speak only as of the date of this release.
MED-F
SOURCE Medifast, Inc.