Juniper Networks, Inc. ("Juniper" or the Company) is an American multinational company that offers networking products such as routers, switches, software, and security products.

The original Complaint charges Juniper and certain of its officers and directors with violations of the Securities Exchange Act of 1934. The Complaint alleges that during the Class Period, Defendants stated that the Company was on track to have 2nd Q 01 revenues of $330+ million and earnings per share (``EPS'') of $0.25, and that Deferred Revenue (i.e., revenue not yet recognized because customers had not yet accepted products) had declined because customer acceptance cycles were shorter than in the past. Defendants also represented the Company was on track to report 2001 EPS of $0.90-$1.00, pro forma, causing its stock to trade as high as $69.50. Defendants took advantage of this inflation by selling 747,463 shares, for proceeds of $42.9 million.

The Complaint further alleges that on or around June 8, 2001, Juniper disclosed that its 2nd Q 01 revenues would be much lower than previously represented and earnings would be less than half of prior estimates. Defendants also admitted that customer acceptance cycles were in fact much longer than in the past, stretching from days to months. One analyst noted that the Company's announcement was matched in ``severity by its tardiness.'' On this news, Juniper shares dropped to $38.02, or more than 46% lower than the Class Period high of $69.50. Ultimately, Juniper reported a loss for 2001 and pro forma EPS of just $0.50, half what Defendants represented, and its stock declined to $13.

In a press release dated August 13, 2003 a federal judge will consider Juniper's (JNPR) motion to dismiss an amended securities class action lawsuit next month. A group of former shareholders accuse Juniper and certain members of Company management of making false and misleading statements concerning Juniper's performance and outlook. The Plaintiffs also charge that the Defendants violated federal securities law. The former shareholders seek unspecified compensatory damages and other relief, according to Juniper's latest quarterly filing with the Securities and Exchange Commission.

According to the press release, the hearing to consider the motion to dismiss the lawsuit is scheduled on Sept. 12 in the U.S. District Court for the Northern District of California, a Juniper spokeswoman said. The lawsuit was initially filed in the first quarter of 2002 on behalf of stockholders who purchased Juniper's stock between April 12, 2001 and June 7, 2001. During that time, the stock fell from a high of $65.58 on April 19 to $46.43 on June 7. In March, the court granted Juniper's motion to dismiss the lawsuit, according to the SEC filing. The Plaintiffs filed an amended Complaint in April. Juniper filed its motion to dismiss the amended Complaint in May. The court will consider that motion next month.

As summarized by the Company’s FORM 10-K for the fiscal year ended December 31, 2005, in March 2004, the court granted Defendants' motion to dismiss, without leave to amend, and entered final judgment against Plaintiffs. Plaintiffs appealed. In December 2005, after complete briefing and oral argument, the United States Court of Appeals for the Ninth Circuit affirmed the district court’s dismissal and final judgment.