SAN FRANCISCO, May 25, 2012 (BUSINESS WIRE) -- The law firm of Lieff
Cabraser Heimann & Bernstein, LLP is investigating the wrongdoing alleged
in shareholder actions brought against JPMorgan Chase & Co. /quotes/zigman/272085/quotes/nls/jpm JPM -1.38% ("JPMorgan" or the
"Company") and/or its officers and directors arising from the
Company's recent multi-billion dollar trading loss.
On May 10, 2012, JPMorgan filed its Form 10-Q for the quarter ending March
31, 2012 with the Securities and Exchange Commission and disclosed that its
plan to hedge risks "has proven to be riskier, more volatile and less
effective as an economic hedge than the firm previously believed." On the
same day, during an earnings conference call with analysts and investors,
defendants revealed that the Company's Chief Investment Office, which is
responsible for managing JPMorgan's overall risks and its $360 billion-worth of
securities, had sustained a $2 billion derivatives trading loss. Following this
revelation, the price of JPMorgan stock fell more than 9% from $40.74 per share
to $36.96 per share, on extremely high trading volume. On May 21, 2012, it was
reported that JPMorgan's losses from bad derivatives bets could actually exceed
$7 billion.
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