.Shareholder Update: Zwerling, Schachter & Zwerling, LLP Reminds Shareholders Wh
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Mar 28, 2008 05:56AM
Source: Zwerling, Schachter & Zwerling, LLP |
Shareholder Update: Zwerling, Schachter & Zwerling, LLP Reminds Shareholders Who Purchased Syntax-Brillian Corporation's Common Stock (Nasdaq: BRLC) Pursuant to the Public Offering on May 24, 2007 that the Deadline for Filing for Lead Plaintiff is April 7, 2008
Thursday March 27, 5:17 pm ET
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If you wish to discuss this action or have any questions concerning your rights and interests with respect to this securities litigation matter, please contact Zwerling Schachter (Kevin McGee, Esq. or Donald Lanier) at 1-800-721-3900 or by e-mail at kmcgee@zsz.com or dlanier@zsz.com.
The complaint alleges that defendants violated Sections 11, 12(a)(2) and 15 of the Securities Act of 1933. Specifically, the complaint alleges that the registration statement and prospectus filed with the SEC in connection with the May 24, 2007 public offering contained materially false and misleading statements, or omitted to state other facts necessary to make the statements made not misleading, concerning Syntax-Brillian's revenue growth, profitability, and its business in China. On September 12, 2007, Syntax-Brillian announced that the results for its first quarter 2008, ending on September 30, 2007, would be significantly below expectations. The Company projected first quarter 2008 revenues of between $170-180 million, when analysts were expecting the Company to report revenues of $254 million, a shortfall of more than 25%. On November 11, 2007, the Company announced that revenues for the quarter ended September 30, 2007, was $150.6 million, a decline of 26.6% from the previous quarter, and that revenue from China in the quarter was $14.6 million, compared with $96.8 million in the prior quarter, a decline of approximately 85%.
The complaint alleges that Syntax-Brillian failed to disclose in the registration statement and prospectus that while the Company shipped hundreds of thousands of LCD televisions to its sole distributor in China during the Class Period, and recorded hundreds of millions of dollars in revenue in connection with these shipments, the end-user demand for the Company's LCD televisions in China was much weaker than what investors were led to believe.
Zwerling Schachter concentrates in prosecuting class actions nationwide on behalf of investors. The firm currently plays a leading role in numerous major securities and complex commercial litigations pending in federal and state courts and has offices in New York City, Uniondale, New York, Boca Raton, Florida and Seattle, Washington. The firm has been recognized by courts throughout the country as highly experienced and skilled in complex litigation, particularly with respect to federal securities class action litigation