Robbins Arroyo LLP: USA Technologies, Inc. (USAT) Misled Shareholders According to a Recently Filed Class Action

SAN DIEGO and MALVERN, Pa., Oct. 7, 2015

View this press release on the law firm's Shareholder Rights Blog: www.robbinsarroyo.com/shareholders-rights-blog/usa-technologies-inc

USA Technologies Fails to Disclose Financial Reporting Deficiencies

According to the complaint, USA Technologies officials failed to disclose that there were significant deficiencies in the design and operating effectiveness of the company's internal control over financial reporting.  The complaint further alleges that when aggregated, these deficiencies represented a material weakness in internal control, and as a result, the company's public statements were false and misleading.

On September 29, 2015, USA Technologies announced that it was unable to timely file its annual report on Form 10-K for the fiscal year ended June 30, 2015, due to deficiencies in its internal control over its financial reporting.  The company stated that the most significant weaknesses related to certain customer accounts and receivable balances involving customer processing and service fees.  Specifically, the procedures in place did not identify a significant amount of small balance accounts that may be uncollectible, causing the company to increase its bad debt reserve by approximately $450,000, resulting in an after-tax charge of approximately $270,000.  On this news, USA Technologies stock fell $0.28, or 10.1%, to close at $2.49 on September 30, 2015.

USA Technologies Shareholders Have Legal Options

Concerned shareholders who would like more information about their rights and potential remedies can contact attorney Darnell R. Donahue at (800) 350-6003, DDonahue@robbinsarroyo.com, or via the shareholder information form on the firm's website.