The WWE securities class action lawsuit alleges that during the Class Period, defendants made false and misleading statements and/or failed to disclose adverse information regarding WWE’s business and operations. Specifically, defendants failed to disclose that WWE was experiencing rising tension with the Saudi government and a breakdown in negotiations over a renewed broadcasting distribution deal; that the Saudi government and its affiliates had failed to make millions of dollars in payments owed to WWE pursuant to existing contractual commitments between the parties; that OSN had terminated the broadcast of WWE programming in the first quarter of 2019, despite a contractual obligation to continue such broadcasts, and that this cancellation was symptomatic of a deterioration in the business relationship between the parties; that OSN had rebuffed efforts to renew a distribution rights agreement on terms acceptable to WWE; and that WWE did not have the ability to expand its operations in the Middle East or within Saudi Arabia as had been represented to investors. The problems with WWE’s relationship with the Saudis began to be revealed in a series of partial disclosures. On April 25, 2019, WWE disclosed disappointing financial results and fiscal guidance, which several analysts connected to potential hiccups in WWE’s dealings with the Saudis. On October 31, 2019, in connection with the release of WWE’s third quarter 2019 financial results, WWE revealed significant underperformance across key metrics and revealed that the media rights deal had been indefinitely delayed. Around this same time, it was reported that the Saudi government had withheld tens of millions of dollars in payments owed to WWE. The dispute continued to escalate, culminating in a decision by WWE to cut a broadcasting feed of a live event held in the country. In retaliation, the Saudi government temporarily refused to allow several WWE wrestlers to leave the country in what was later described as akin to a “hostage situation” under the pretense of mechanical airplane issues. Then, on January 30, 2020, WWE revealed that two of its longest serving senior executives defendants George A. Barrios and Michelle D. Wilson had been ousted. Shortly thereafter, on February 6, 2020, WWE again disclosed disappointing financial performance due to its failure to secure a favorable broadcasting deal with the Saudis and revealed that the Saudi media rights deal would not be included in WWE’s financial forecasting. As a result of these disclosures, the price of WWE Class A common stock plummeted from a Class Period high of more than $100 per share to as low as $40.24 per share on February 6, 2020, representing a 60% share price decline.