Robbins Umeda LLP announced that it has commenced an investigation into possible breaches of fiduciary duty and other violations of the law by certain Officers and Directors at AgFeed Industries, Inc.. Robbins Umeda LLP is investigating whether Officers and Directors of AgFeed issued materially false and misleading statements to investors that were designed to deceive the market and artificially inflate the Company's value. In particular, the firm is examining allegations that Chairman and Chief Executive Officer John Stadler, along with other officials at the Company, misled investors about the condition and future business prospects of AgFeed. On August 2, 2011, AgFeed announced disappointing financial results for the second quarter of fiscal year 2011 that showed the Company was performing well below expectations. According to the Company's press release, AgFeed incurred a $17 million net loss for the quarter related to huge accounts receivable expenses in China and other bad debt expenses. Additionally, AgFeed revealed that due to operating pressures and concerns regarding credit quality, officials at the Company would be aggressively establishing reserves at AgFeed. Since this news has emerged, shares of AgFeed have lost over 40% of their value. On August 29, 2011, after trading as high as $2.05 on August 2, 2011, shares of the Company's stock closed at just $1.05 per share.