According to press releases dated November 11 and 12, 2008, the complaint charges the defendants and certain of its current and former officers with violations of the Securities Exchange Act of 1934. Between July 25, 2007 and February 12, 2008 (the "Class Period"),The complaint charges that the representations contained in the defendants’ press releases, SEC filings, conference calls and presentations during the Class Period were materially false and misleading when made because they failed to disclose that: (i) the Company was experiencing manufacturing inefficiencies associated with increased production levels and would not be able to meet its stated guidance; (ii) the Company was at risk of losing customers due to its inability to meet demand; and (iii) as a result of the foregoing, defendants lacked a reasonable basis for their positive statements about the Company and its prospects.
According to the complaint, on October 23, 2007, the Company held a conference call to discuss its third quarter earnings announcement and the Company’s operations. In response to the disappointing earnings announcement, the price of Anadigics common stock declined from $19.34 per share to $15.60 per share on heavy trading volume. However, defendants continued to conceal that the Company’s manufacturing inefficiencies were continuing to erode the Company’s profitability.
Then, on February 12, 2008, Anadigics announced its financial results for the fourth quarter and year-end 2007. Following this announcement, the price of Anadigics common stock dropped from $10.36 per share to $8.86 per share, on extremely heavy trading volume.
On November 24, 2008, an Order was entered consolidating Kuznetz v. Anadigics, Inc., into Attias v. Anadigics, Inc.
On August 26, 2009, the court granted an order and the Massachusetts Public Pension Funds were appointed to serve as lead plaintiff in the above-captioned Action pursuant to 15 U.S.C. § 78u-4(a)(3)(B). Labaton Sucharow LLP was thereby approved as lead counsel for the Class pursuant to 15 U.S.C. § 78u-4(a)(3)(B)(v).
On October 04, 2010, an Amended First Amended Class Action Complaint For Violations Of Federal Securities Laws against the defendants was filed by the lead plaintiffs.