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Case Status:    DISMISSED    
On or around 08/25/2005 (Date of order of final judgment)

Filing Date: June 18, 2004

According to a press release dated August 30, 2005, medical device maker Synovis Life Technologies Inc. said Monday that the shareholder class action brought against the company and its current CEO and former CFO has been dismissed with prejudice. The U.S. District Court for the District of Minnesota found the complaint failed to meet legal pleading requirements.

The complaint charges Synovis and certain of its officers and directors with violations of the Securities Exchange Act of 1934. Synovis is a diversified medical device company that develops, manufacturers and markets products for the surgical and interventional treatment of disease. More specifically, the complaint alleges that during the Class Period, defendants issued a series of materially false and misleading statements about the Company's business and prospects which artificially inflated the price of the Company's securities. The true facts, which were known by the defendants, but concealed from the investing public, included: (a) the Company's surgical business was not on track for year-to-year growth but was actually declining; (b) the Company's Peri-Strips were actually losing market share to a competing device made by Gore-Medical; (c) even defendants' explanations for "why" the Company's Peri-Strips sales fell short were grossly false and misleading, as defendants claimed that sales fell due to capacity constraints, i.e., the number of surgeons qualified to perform procedures had declined, taking sales down as well, which claim was false for several reasons, including that Peri-Strips are only used in 25% of gastric by-pass procedures and therefore growth would track with market acceptance; and even if the number of gastric by-pass procedures did decline, the medical communities' conversion to the "laproscopic" method (which uses S-12 Peri-Strips) from the "open" method (which used 103 Peri-Strips), would have stemmed this decline in the Company's Peri-Strips sales; (d) the Company's "interventional" side had little to zero growth prospects; and (e) as a result of the above, the Company's projections of fiscal 2004 EPS of $.56-$.60 and revenues of $75-$79 million were false and misleading.

The complaint further alleges that on May 19, 2004, before the market opened, Synovis drastically cut its guidance for fiscal 2004 in a press release which stated, in pertinent part: "At the halfway point of the year, we have fallen behind our own expectations and have clearly not met the expectations of the market .... while the interventional business showed significant sequential improvement during the second quarter, it is not yet back to fiscal 2003 levels. In the surgical business, several factors affecting the gastric bypass market evolved during the second quarter, constraining recent Peri-Strips sales growth and near-term growth prospects for Peri-Strips use in gastric bypass surgery. The magnitude of the revenue shortfall in the interventional business, combined with changes in the gastric bypass market, significantly reduce the likelihood of the strong year-over-year growth we expected in fiscal 2004." On this news, Synovis stock fell from a close of $14.65 on May 18, 2004 to a close of $9.25 on May 19, 2004, for a single-day decline of more than 36% on very heavy trading volume.

COMPANY INFORMATION:

Sector: Healthcare
Industry: Medical Equipment & Supplies
Headquarters: United States

SECURITIES INFORMATION:

Ticker Symbol: SYNO
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: D. Minnesota
DOCKET #: 04-CV-03008
JUDGE: Hon. Ann D. Montgomery
DATE FILED: 06/18/2004
CLASS PERIOD START: 10/16/2003
CLASS PERIOD END: 05/18/2004
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Brodsky & Smith, LLC (former Pennysylvania)
    11 Bala Avenue, Suite 39, Brodsky & Smith, LLC (former Pennysylvania), PA 19004
    610.668.7987 610.660.0450 · esmith@Brodsky-Smith.com
  2. 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
  3. Lerach Coughlin Stoia Geller Rudman & Robbins LLP (San Diego)
    401 B Street, Suite 1700, Lerach Coughlin Stoia Geller Rudman & Robbins LLP (San Diego), CA 92101
    206.749.5544 206.749.9978 · info@lerachlaw.com
  4. Schatz & Nobel, P.C.
    330 Main Street, Schatz & Nobel, P.C., CT 06106
    800.797.5499 860.493.6290 · sn06106@AOL.com
  5. Wolf Haldenstein Adler Freeman & Herz LLP (New York)
    270 Madison Avenue, Wolf Haldenstein Adler Freeman & Herz LLP (New York), NY 10016
    212.545.4600 212.686.0114 · newyork@whafh.com
  6. Wolf Popper, LLP
    845 Third Avenue, Wolf Popper, LLP, NY 10022-6689
    877.370.7703 212.486.2093 · IRRep@wolfpopper.com
No Document Title Filing Date
COURT: D. Minnesota
DOCKET #: 04-CV-03008
JUDGE: Hon. Ann D. Montgomery
DATE FILED: 12/20/2004
CLASS PERIOD START: 05/21/2003
CLASS PERIOD END: 05/18/2004
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Ademi & O'Reilly, LLP
    3620 East Layton Ave., Ademi & O'Reilly, LLP, WI 53110
    866-264-3995 414-482-8001 · inquiry@ademilaw.com
  2. Bernstein Liebhard & Lifshitz, LLP (New York)
    10 E. 40th Street, 22nd Floor, Bernstein Liebhard & Lifshitz, LLP (New York), NY 10016
    800.217.1522 · info@bernlieb.com
  3. Charles H. Johnson & Associates
    2599 Mississippi Street, Charles H. Johnson & Associates, MN 55112
    651.633.5685 ·
  4. Law Offices of Brian M. Felgoise, P.C.
    Esquire at 261 Old York Road, Suite 423, Law Offices of Brian M. Felgoise, P.C., PA 19046
    215.886.1900 · securitiesfraud@comcast.net
  5. Law Offices of Marc S. Henzel (Lawrence)
    335 Central Avenue, Law Offices of Marc S. Henzel (Lawrence), NY 11559
    516.374.0707 516.295.3473 · securitiesfraud@comcast.net
  6. Lerach Coughlin Stoia Geller Rudman & Robbin (San Francisco)
    100 Pine Street, Suite 2600, Lerach Coughlin Stoia Geller Rudman & Robbin (San Francisco), CA 94111
    415.288.4545 415.288.4534 · info@lerachlaw.com
  7. Lerach Coughlin Stoia Geller Rudman & Robbins LLP (San Diego)
    401 B Street, Suite 1700, Lerach Coughlin Stoia Geller Rudman & Robbins LLP (San Diego), CA 92101
    206.749.5544 206.749.9978 · info@lerachlaw.com
  8. Reinhardt, Wendorf & Blanchfield Attorneys at Law
    E-1000 First National Bank Building, 332 Minnesota Street, Reinhardt, Wendorf & Blanchfield Attorneys at Law, MN 55101
    800.465.1592 651.297.6543 · info@ralawfirm.com
  9. Schiffrin & Barroway LLP
    3 Bala Plaza E, Schiffrin & Barroway LLP, PA 19004
    610.667.7706 610.667.7056 · info@sbclasslaw.com
  10. Wolf Haldenstein Adler Freeman & Herz LLP (New York)
    270 Madison Avenue, Wolf Haldenstein Adler Freeman & Herz LLP (New York), NY 10016
    212.545.4600 212.686.0114 · newyork@whafh.com
  11. Wolf Popper, LLP
    845 Third Avenue, Wolf Popper, LLP, NY 10022-6689
    877.370.7703 212.486.2093 · IRRep@wolfpopper.com
No Document Title Filing Date