METAIRIE, La., March 26, 2009 (GLOBE NEWSWIRE) -- The Law Offices of Eric J. O'Bell, LLC ("O'Bell") announce its investigation into TravelCenters of America, LLC, ("TravelCenters" or the "Company") (AMEX:TA) to determine whether it has violated federal securities laws by issuing materially false and misleading statements to shareholders.
TravelCenters of America, LLC is a national chain of travel centers in 41 states and Canada, operating under "Travel Centers of America," "TA" and "Petro" brands. On April 1, 2008, TravelCenters filed with the SEC, pursuant to Form 8-K, a Statement of Non-Reliance on Previously Issued Financial Statements.
This Statement stated, in part, the following: Item 4.02. Non-Reliance on Previously Issued Financial Statements or a Related Audit Report or Completed Interim Review. (a) As disclosed in our March 31, 2008, press release, we recently reviewed our lease accounting practices in connection with the preparation of our Annual Report on Form 10-K for the year ended December 31, 2007. As reported in that press release, we have adjusted the way we account for two elements of our leases with respect to our accounting for landlord/tenant allowance (specifically, the commitment of Hospitality Properties Trust, or Hospitality Trust, to fund up to $125 million of capital expenditures to make improvements at properties we lease from Hospitality Trust over a five year period) and our accounting for interest expense related to that portion of our rental obligation allocated to properties accounted for as capitalized leases and certain other immaterial items... The audit committee of our board of directors, after consideration of relevant facts and circumstances and after consultation with our management and our independent registered public accounting firm, Ernst & Young LLP, concluded on March 29, 2008, that our consolidated financial statements contained within our Quarterly Reports on Form 10-Q for the interim periods ended March 31, June 30 and September 30, 2007 (including all periods presented therein other than those solely reflecting our predecessor's results), should be restated, and that such financial statements previously filed with the Securities and Exchange Commission, or SEC, should no longer be relied upon.
Following the disclosure of this restatement, the Company's shares declined significantly, losing almost 50% of its value.
If you are a TravelCenters shareholder, and/or have information that would assist in this ongoing investigation, or have other questions relating to a loss you've suffered in your investment, you may contact Eric J. O'Bell directly without obligation or cost to you at 504-456-8677; 504-616-9400 after hours; or by email to ejo@obelllawfirm.com.