Gant Enterprises has filed its annual report with its shareholders. One of its major subsidiaries is located in Bolivia. In its annual report, Gant states that if the political climate in Bolivia stabilizes, it expects that its profits will exceed the previous year by at least 20%. The truth is, Gant knows the political climate is about to destabilize, and it is making arrangements to sell its subsidiary to a local producer. Is Gant’s statement protected under the forward looking statement safe harbor rule? Why or why not?
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