According to the docket posted, on September 28, 2001, the Court entered the Order by U.S. District Judge Orinda D. Evans granting the defendants’ motion to dismiss the complaint. The complaint was dismissed without prejudice. That same day, the Court entered Judgment for the defendants and against the plaintiffs for costs of the action, and the case was terminated.
The original lawsuit charges FRA and certain of its officers, with violations of the federal securities laws by issuing materially false and misleading financial statements. The Company, on May 22, 2000, revealed that it would be restating its previously reported financial results for the first two quarters of the fiscal year 2000. In total, losses for these two periods were understated by more than $7 million. After the Company's announcement, FRA shares fell to $2 9/16 per share from a high of $6 15/16 during the class period, as the market fully absorbed the impact of these disclosures. On November 1, 2000, the Court appointed Lead Plaintiff and Lead Counsel, and by the same order consolidated all related cases for discovery purposes only. Plaintiffs filed a Consolidated Amended Complaint on October 16, 2000 and thereafter, Defendants filed a Motion to Dismiss the complaint. Between November, 2000 and March, 2001, both parties filed briefs regarding the Motion to Dismiss. That motion is currently still pending before the Court.