LOS ANGELES--(Business Wire)--
Notice is hereby given that Glancy Binkow & Goldberg LLP has filed a class
action lawsuit in the United States District Court for the Central District of
California on behalf of a class consisting of all persons or entities who
purchased the securities of STEC, Inc. ("STEC" or the "Company") (NASDAQ:STEC)
between August 3, 2009 and November 3, 2009, inclusive (the "Class Period").
A copy of the Complaint is available from the court or from Glancy Binkow &
Goldberg LLP. Please contact us by phone to discuss this action or to obtain a
copy of the Complaint at (310) 201-9150 or Toll Free at (888) 773-9224, by email
at info@glancylaw.com, or visit our website at http://www.glancylaw.com.
The Complaint charges STEC and certain of the Company`s executive officers with
violations of federal securities laws. STEC designs, manufactures and markets
enterprise-class solid state drives, for use in high performance storage and
server systems, and high density dynamic random access memory, modules for
networking, communications and industrial applications. The Complaint alleges
that throughout the Class Period defendants knew or recklessly disregarded that
their public statements concerning STEC`s business, operations and prospects
were materially false and misleading. Specifically, the defendants made false
and/or misleading statements and/or failed to disclose: (1) that the Company
over sold its largest customer more inventory than it required; (2) that, as
such, the Company overstated the demand for its ZeusIOPS SSD products; (3) that
the Company's subsequent revenue and financial results for the following year
would be negatively impacted; and (4) that, as a result of the above,
Defendants' statements during the Class Period lacked a reasonable basis.
On November 3, 2009, STEC shocked investors when it announced that one of its
largest customers, which accounts for 90 percent of STEC's ZeusIOPS SSD business
and which had placed a $120 million order for the second half of 2009, would
carry 2009 inventory into 2010, placing STEC's 2010 first quarter results at
risk. As a result of this news, shares of STEC declined $9.01 per share, more
than 38%, to close on November 4, 2009, at $14.14 per share, on unusually heavy
volume.
Plaintiff seeks to recover damages on behalf of class members and is represented
by Glancy Binkow & Goldberg LLP, a law firm with significant experience in
prosecuting class actions, and substantial expertise in actions involving
corporate fraud.
If you are a member of the class described above, you may move the Court, no
later than 60 days from the date of this Notice, to serve as lead plaintiff;
however, you must meet certain legal requirements. If you wish to discuss this
action or have any questions concerning this Notice or your rights or interests
with respect to these matters, please contact Michael Goldberg, Esquire, or
Richard A. Maniskas, Esquire, of Glancy Binkow & Goldberg LLP, 1801 Avenue of
the Stars, Suite 311, Los Angeles, California 90067, by telephone at (310)
201-9150 or Toll Free at (888) 773-9224, by e-mail to info@glancylaw.com, or
visit our website at http://www.glancylaw.com.
Glancy Binkow & Goldberg LLP, Los Angeles, CA
Michael Goldberg
Richard A. Maniskas
310-201-9150 or 888-773-9224
info@glancylaw.com
www.glancylaw.com
Copyright Business Wire 2009
