SEATTLE, Nov. 6, 2008 (GLOBE NEWSWIRE) -- Hagens Berman Sobol Shapiro LLP ("Hagens Berman") (http://www.hbsslaw.com/cdns) today announced it is investigating Cadence Design Systems, Inc. ("Cadence" or the "Company") (Nasdaq:CDNS) based on claims the company failed to provide accurate and honest reports to the public and Securities and Exchange Commission (SEC) regarding the Company's financial health and business and operations. Hagens Berman is investigating whether the actions by Cadence and the Company's executive officers violates U.S. securities laws.
In late October, Cadence shares declined $1.10 per share, more than 25 percent, to close on Oct. 23, 2008 at $3.22 per share. This decline came after Cadence delayed the announcement of its third-quarter financial results and disclosed to investors and the public that the Company, its independent accountants and its legal advisors were reviewing recognition of revenue issues related to customer contracts signed during the first quarter of 2008.
Hagens Berman is investigating claims that Cadence improperly reported $24 million in revenue during the first and second quarter of 2008 that was recognized prematurely and would not be earned until later in the year. Issuing misleading reports on revenue and overstating net income can artificially inflate the price of Company stock. Hagens Berman is currently investigating these allegations on behalf of shareholders.
If you invested in Cadence stock between April 23, 2008 and Oct. 22, 2008, please contact plaintiff's counsel, Reed Kathrein of Hagens Berman at (510) 725-3000 or via e-mail info@hbsslaw.com. You can also view more information about this investigation at http://www.meaningfuldisclosure.com or http://www.hbsslaw.com/cdns.
Hagens Berman Sobol Shapiro, a law firm with offices in Seattle, San Francisco, Los Angeles, Boston, Chicago, Phoenix and New York is active in major litigation pending in federal and state courts throughout the United States and has taken a leading role in many important actions on behalf of defrauded investors, consumers, and companies, as well as victims of human rights violations. The Hagens Berman Web site (www.hbsslaw.com) has more information about the firm.