 On 7 March 2000, the company restated its earnings in the first three-quarters of fiscal 1999.On 14 March 2000, Hastings Entertainment, Inc. was sued for reporting profits of more than $12 million during the Class Period, while they used Hastings common stock to maintain false reports of the company's growth and profitability, by raising almost $40 million in an initial public offering.Hastings paid $5.75 million for settlement.