The Business of Fashion
Agenda-setting intelligence, analysis and advice for the global fashion community.
Agenda-setting intelligence, analysis and advice for the global fashion community.
BALTIMORE, United States — Under Armour Inc. disclosed on Monday that its top executives had received a Wells notice from the US Securities and Exchange Commission related to an investigation about the sportswear maker's accounting practices.
Last year, the company said it was cooperating with federal investigators in connection with a probe about whether it shifted sales from quarter to quarter to meet objectives.
While a Wells notice does not necessarily mean the recipients have violated any law, the SEC issues the letter to firms when it is planning to bring an enforcement action against them.
A filing on Monday showed that the staff of the SEC is recommending that the regulatory body file an enforcement action against the company, founder and executive chairman Kevin Plank and Chief Financial Officer David Bergman, that would allege certain violations of federal securities laws.
ADVERTISEMENT
Under Armour and the executives said that their actions were appropriate and they intend to pursue the Wells Notice process.
Shares of the company were down nearly 4 percent in premarket trading.
By Aishwarya Venugopal; editor: Saumyadeb Chakrabarty
Nordstrom, Tod’s and L’Occitane are all pushing for privatisation. Ultimately, their fate will not be determined by whether they are under the scrutiny of public investors.
The company is in talks with potential investors after filing for insolvency in Europe and closing its US stores. Insiders say efforts to restore the brand to its 1980s heyday clashed with its owners’ desire to quickly juice sales in order to attract a buyer.
The humble trainer, once the reserve of football fans, Britpop kids and the odd skateboarder, has become as ubiquitous as battered Converse All Stars in the 00s indie sleaze years.
Manhattanites had little love for the $25 billion megaproject when it opened five years ago (the pandemic lockdowns didn't help, either). But a constantly shifting mix of stores, restaurants and experiences is now drawing large numbers of both locals and tourists.