Case Page

 

Case Status:    SETTLED
On or around 06/21/2005 (Date of order of final judgment)

Filing Date: April 12, 2001

According to the Company’s Form 10-Q for the fiscal quarter ended June 30, 2005,
in April 2005, the Company and its insurers funded the settlement fund following the court’s preliminary approval of the settlement. Of the total amount, the Company’s insurers paid approximately $31 million. The settlement received final court approval in June 2005, and the litigation has been dismissed with prejudice.

Earlier, in April 2001, a series of similar federal complaints were filed against the Company and certain of its executive officers and directors. The complaints were consolidated into a single proceeding in the U.S. District Court for the Southern District of California. In re Applied Micro Circuits Corp. Securities Litigation, lead case number 01-CV-0649-K(AB). The consolidated federal complaint alleged violations of the Securities Exchange Act of 1934 and was brought as a shareholder class action. In January 2005, the parties entered into a Memorandum of Understanding pursuant to which the Company agreed to pay $60 million to settle the litigation.

The original complaint charges Applied Micro and certain of its officers and directors with misrepresenting the company's operations and prospects. Taking advantage of the inflation in Applied Micro's stock caused by their own statements, the Applied Mico insiders sold almost $100 million worth of their own Applied Micro stock at artificially inflated prices of as much as $87 per share. On 02/05/2001, after the close of the market, the truth about Applied Micro's operations and sudden filings by its officers to sell their personal holdings came under fire from analysts. Defendants were forced to disclose that in fact Applied Micro was experiencing large order cancellations with its OC-12, OC-48 and OC-192 products. This news sent Applied Micro's shares plummeting from $70 per share to as low as $53 per share on 02/06/2001.

COMPANY INFORMATION:

Sector: Technology
Industry: Semiconductors
Headquarters: United States

SECURITIES INFORMATION:

Ticker Symbol: AMCC
Company Market: NASDAQ
Market Status: Public (Listed)

About the Company & Securities Data


"Company" information provides the industry and sector classification and headquarters state for the primary company-defendant in the litigation. In general, "Securities" information provides the ticker symbol, market, and market status for the underlying securities at issue in the litigation.

In most cases, the primary company-defendant actually issued the securities that are the subject of the litigation, and the securities information and company information relate to the same entity. In a small subset of cases, however, the primary company-defendant is not the issuer (for example, cases against third party brokers/dealers), and the securities information and company information do not relate to the same entity.
COURT: S.D. California
DOCKET #: 01-CV-0649
JUDGE: Hon. Judith N. Keep
DATE FILED: 04/12/2001
CLASS PERIOD START: 11/30/2000
CLASS PERIOD END: 02/05/2001
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Law Offices of Charles J. Piven, P.A.
    World Trade Center-Baltimore,401 East Pratt Suite 2525, Law Offices of Charles J. Piven, P.A., MD 21202
    410.332.0030 · pivenlaw@erols.com
  2. Milberg Weiss Bershad Hynes & Lerach LLP (San Diego, CA)
    600 West Broadway, 1800 One America Plaza, Milberg Weiss Bershad Hynes & Lerach LLP (San Diego, CA), CA 92101
    800.449.4900 · support@milberg.com
  3. Wechsler Harwood LLP
    488 Madison Avenue 8th Floor, Wechsler Harwood LLP, NY 10022
    212.935.7400 · info@whhf.com
No Document Title Filing Date
COURT: S.D. California
DOCKET #: 01-CV-0649
JUDGE: Hon. Judith N. Keep
DATE FILED: 06/21/2002
CLASS PERIOD START: 11/30/2000
CLASS PERIOD END: 02/05/2001
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Barrack, Rodos & Bacine (San Diego - former)
    402 West Broadway , Barrack, Rodos & Bacine (San Diego - former), CA 92101
    619.230.0800 619.230.1874 · info@barrack.com
No Document Title Filing Date