Levi & Korsinsky is investigating AgFeed Industries, Inc. to determine whether certain of its officers and directors have issued materially false and misleading statements to investors in violation of federal securities laws. On August 2, 2011, AgFeed issued a press release announcing disappointing financial results for the second quarter of the 2011 fiscal year, including a net loss of approximately $17 million for the three months ended June 30, 2011. The Company also announced that due to 'operating pressures', AgFeed would be 'establishing reserves due to concerns regarding credit quality'. Since this news, shares of AgFeed have plummeted more than 40%.
 

Source:reuters