Human Resource Selection 9th Edition by Marianne Jennings

Exercise 1

The president's letter in Rockwood Computer Corporation's annual report stated that most of its inventory consisted of its old computer series. The letter suggested that its new series would cost more money for all users. However, the letter did not disclose, although evidence had indicated, that the new system might be less expensive for those who needed greater performance and capacity. Walter Beissinger (who sold his shares based on the information)brought suit under 10(b). Rockwood claims the statements were based on opinions of sales and were not statements of fact. Who should win? [ Beissinger v Rockwood Computer Corp., 529 F. Supp. 770 (E.D. Pa. 1981)]