Rigrodsky & Long, P.A. Files Class Action Lawsuit On Behalf of Current and Former Employees of Amcore Financial, Inc. Who Invested in the Amcore Financial Security Plan

Rigrodsky & Long, P.A. Files Class Action Lawsuit On Behalf of Current and Former Employees of Amcore Financial, Inc. Who Invested in the Amcore Financial Security Plan

Rigrodsky & Long, P.A. announces it has filed a class action lawsuit on behalf of former and current employees of Amcore Financial, Inc. (the “Company” or “Amcore”) who invested in the Amcore Financial Security Plan (the “Plan”).

The lawsuit, pending in the United States District Court for the Northern District of Illinois, alleges that during the period May 10, 2005 through the present (the “Class Period”), the Plan’s administrators breached their fiduciary duties to the Plan and Participants in violation of the Employee Retirement Income Security Act of 1974 (“ERISA”), by failing to prudently and loyally manage the Plan’s investment in Company Stock by, among other things: (i) continuing to offer Company stock as a retirement saving option; (ii)  continuing to acquire and hold shares of Company stock in the Plan when it was imprudent to do so; (iii) failing to provide complete and accurate information to Participants regarding the Company’s financial condition and the prudence of investing in Company stock; and (iv) maintaining the Plan’s pre-existing investment in Company Stock when it was no longer a prudent investment for the Plan.  The lawsuit further alleges that the investment in Amcore common stock was imprudent, inter alia, because: (i) the Company misleadingly stated it was curing the control deficiencies that were identified by the Office of the Comptroller of the Currency (“OCC”) when, in fact, it was not; and (ii) while the Company’s management continued to exert maximum effort to attract new capital, significant operating losses in 2008 and 2009, significant levels of criticized assets and low levels of capital raise substantial doubt as to the Company’s ability to continue as a going concern.