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BUZZ-Pearson: botched LA schools contract sees stock break support levels

** Pearson (Xetra: 858266 - news) falls 3.4 pct, its worst day since February 2014, after reports LA schools dropping co's products

** Said to be considering potential legal action against Pearson and Apple (NasdaqGS: AAPL - news)

** Pearson breaks previously held support level of 1400p, trader says close below would be bearish indicator. Chart: http://link.reuters.com/mur54w

** Stock also breaks 50-day SMA for first time since Jan

** Third top faller on FTSE 100, third most traded by average volumes

(RM (LSE: RM.L - news) : alasdair.pal.thomsonreuters.com@reuters.net)