Investors Face August Deadline in Peabody Energy Securities Lawsuit

The lawsuit alleges that Hathhorn provided false statements during an October 2024 special call, specifically regarding the readiness of mining equipment and the geological stability of the Centurion project. While Hathhorn reportedly vouched for the use of brand-new conveyance systems and stable coal seams, the company later disclosed that eight-year-old equipment suffered mechanical failures and the mine site faced severe moisture-related deterioration. These revelations triggered a sharp decline in Peabody Energy stock, which dropped from a peak of $39.50 in March 2026 to $25.00 following corrective disclosures in late March and early May. The complaint asserts that these misrepresentations went beyond general corporate optimism, directly influencing investor expectations regarding the project's timeline and execution risk. As a former senior executive, Hathhorn is named under Section 20(a) of the Securities Exchange Act for his alleged role in controlling the company’s public disclosures. Investors who purchased Peabody Energy securities between October 14, 2024, and May 4, 2026, may be eligible to participate in the litigation, which is being handled on a contingency basis by Levi & Korsinsky LLP.