Lieff Cabraser Announces Class Action Litigation Against Electronic Arts, Inc. - EA

Thu Jan 9, 2014 9:00am EST

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Lieff Cabraser Announces Class Action Litigation Against Electronic Arts, Inc. - EA

The law firm of Lieff Cabraser Heimann & Bernstein, LLP announces that class action litigation has been brought on behalf all purchasers of the common stock of Electronic Arts, Inc. (“Electronic Arts” or the “Company”) (NasdaqGS: EA) between July 24, 2013 and December 4, 2013, inclusive (the “Class Period”).

If you purchased the common stock of Electronic Arts during the Class Period, you may move the Court for appointment as lead plaintiff by no later than February 18, 2014. A lead plaintiff is a representative party who acts on behalf of other class members in directing the litigation. Your share of any recovery in the action will not be affected by your decision of whether to seek appointment as lead plaintiff. You may retain Lieff Cabraser, or other attorneys, as your counsel in the action.

Electronic Arts investors who wish to learn more about the action and how to seek appointment as lead plaintiff should click here or contact Sharon M. Lee of Lieff Cabraser toll-free at 1-800-541-7358.

Background on the Electronic Arts Securities Class Litigation

The action charges Electronic Arts and certain of its officers and directors with violations of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934. Electronic Arts, based in Redwood City, California, develops, markets, publishes, and distributes video game software content and services.

The complaint alleges that defendants issued materially false and misleading statements concerning Electronic Arts’ rollout of version 4 of its Battlefield video game series that had provided approximately 11% of the Company’s revenues in fiscal 2012. Specifically, the complaint alleges that defendants failed to disclose and misrepresented the following adverse facts: (a) Battlefield 4 was plagued with glitches and other problems, including connectivity issues, server limitations, lost data and repeated sudden crashes; (b) as a result of these problems, Electronic Arts would not achieve a successful 2013 holiday season rollout of Battlefield 4; and (c) the performance of the Electronic Arts unit publishing Battlefield 4 was so deficient that all its other projects had to be put on hold so that it could focus on fixing the problems with Battlefield 4.

On November 15, 2013, the day Sony Corporation released its new Play Station 4 (“PS4”) console, it was disclosed on Electronic Arts’ support website that players were experiencing multiple glitches and significant crashes when attempting to play Electronic Arts’ titles on PS4. On this news, the price of Electronic Arts common stock fell $1.96 per share, or over 7%, from its closing price of $25.96 per share on November 14, 2013 to close at $24.06 per share on November 15, 2013.

On December 4, 2013, it was disclosed that due to bugs, connectivity issues, server limitations, and various other problems besetting Battlefield 4, Electronic Arts had been forced to indefinitely halt the Battlefield 4 rollout and other projects until the problems with Battlefield 4 could be resolved. On this news, the price of Electronic Arts common stock fell $1.33 per share from a close of $22.34 per share on December 4, 2013 to close at $21.01 per share on December 5, 2013 on unusually high trading volume.

About Lieff Cabraser

Lieff Cabraser Heimann & Bernstein, LLP, with offices in San Francisco, New York, and Nashville, is a nationally recognized law firm committed to advancing the rights of investors and promoting corporate responsibility.

Since 2003, the National Law Journal has selected Lieff Cabraser as one of the top plaintiffs’ law firms in the nation. In compiling the list, the National Law Journal examined recent verdicts and settlements in addition to overall track records. Lieff Cabraser is one of only two plaintiffs’ law firms in the United States to receive this honor for the last ten consecutive years.

For more information about Lieff Cabraser and the firm’s representation of investors, please visit http://www.lieffcabraser.com.

This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.

Lieff Cabraser Heimann & Bernstein, LLP
Sharon M. Lee, 1-800-541-7358

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