Otter Tail lower after disclosing receipt of DOJ subpoena for PVC pipe probe

In a regulatory filing, Otter Tail (OTTR) disclosed that on August 27, the company received a grand jury subpoena issued by the U.S. District Court for the Northern District of California, from the U.S. Department of Justice Antitrust Division. The subpoena calls for production of documents regarding the manufacturing, selling, and pricing of PVC pipe. “The Company is responding to the subpoena and intends to comply with its obligations under the subpoena. At this time, we are unable to determine the likelihood of an outcome or estimate a range of reasonably possible losses, if any, arising from the class action complaints or the DOJ investigation. However, if an antitrust violation by the Company is found, it could have a material impact on the Company’s financial condition, operating results, and liquidity. The Company believes that there are factual and legal defenses to the allegations in the complaints and intends to defend itself accordingly,” the 10-Q filing stated. In afternoon trading, shares of Otter Tail are down $2.46, or 3%, to $80.03.