Overview

A class action lawsuit has been filed against CAE, Inc. (“CAE” or the “Company”) (NYSE: CAE) and certain of the Company’s former and current senior executive officers alleging violations of the federal securities laws.  The CAE class action lawsuit is brought on behalf of all persons and entities who purchased or otherwise acquired CAE stock on an exchange in the United States between February 11, 2022, and May 21, 2024, both dates inclusive (the “Class Period”).  Investors have until September 16, 2024, to seek appointment as lead plaintiff of the CAE class action lawsuit.

CAE is a technology company that offers software-based simulation training and critical operations support solutions.  The Company principally operates in two business segments: (1) Civil Aviation and (2) Defense and Security (“Defense”).  CAE’s Defense segment provides independent training and simulation solutions for global defense and security forces.

CAE’s Defense segment often offers products and services through fixed-price contracts.  Because the price of the contract is fixed, CAE must absorb cost overruns which can dent profit margins or generate significant losses.  Certain of CAE’s contracts to supply equipment and services to defense organizations are long-term agreements that last up to 25 years.

The CAE class action lawsuit alleges that Defendants, throughout the Class Period, made materially false and misleading statements concerning significant cost overruns in CAE’s Defense segment caused by several fixed-price, long-term Defense contracts entered into prior to the COVID-19 pandemic.  In truth, certain of CAE’s pre-COVID fixed-price Defense contracts had experienced such significant cost overruns that the Company needed to take over $720 million in charges and profit adjustments and re-baseline its entire Defense business.  On August 10, 2022, the Company announced $28.9 million in unfavorable contract profit adjustments involving two fixed-price contracts.

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If you purchased or otherwise acquired CAE stock on an exchange in the United States between February 11, 2022, and May 21, 2024, both dates inclusive, and you wish to serve as lead plaintiff in this lawsuit, we encourage you to submit your information to DiCello Levitt LLP via the form on this page. 

You can also contact DiCello Levitt partner Brian O’Mara by calling (888) 287-9005 or at [email protected]. 

The deadline to apply to the Court to serve as a lead plaintiff in the CAE lawsuit is September 16, 2024.