DENVER, Jan. 7, 2009 (GLOBE NEWSWIRE) -- Dyer & Berens LLP today announced that a class action lawsuit has been filed in the United States District Court for the District of Maryland, on behalf of purchasers of Integral Systems, Inc. ("Integral Systems" or the "Company") (Nasdaq:ISYS) securities between April 28, 2008 and December 10, 2008, inclusive (the "Class Period").
If you purchased Integral Systems securities during the Class Period, you may, no later than February 16, 2009, request that the Court appoint you as a lead plaintiff for the Class. A lead plaintiff is a class member that acts on behalf of other investors in directing the litigation. Although your ability to share in any recovery is not affected by your decision to seek appointment as a lead plaintiff, lead plaintiffs make important decisions which could affect the overall recovery for class members.
For a free consultation regarding your rights and interests with respect to the pending lawsuit, you may contact Jeffrey A. Berens, Esq. at (888) 300-3362, (303) 861-1764 or via email at jeff@dyerberens.com.
The complaint charges Integral Systems and four of its senior officers with violations of the Securities Exchange Act of 1934 for making and/or allowing false and misleading statements concerning the Company's business, operations and prospects. Specifically, defendants failed to disclose that: (a) Integral Systems improperly recognized revenue; (b) as a result, the Company misstated its financial results during the Class Period; (c) the Company's financial results were not prepared in accordance with GAAP; (d) the Company lacked adequate internal and financial controls; and (e) as a result of the above, the Company's financial statements were materially false and misleading at all relevant times.
On December 11, 2008, Integral Systems shocked investors when it revealed that its unaudited financial statements for the interim periods ended December 31, 2007, March 30, 2008 and June 30, 2008 should no longer be relied upon due to an error in the accounting treatment for certain transactions with respect to the timing of the recognition of revenue between periods. Integral Systems further disclosed that, as a result, the Company would restate its previously filed financial statements for those interim quarterly periods in fiscal year 2008. The Company estimated that the net impact of the adjustments for the first three quarters of 2008 would result in a decrease of approximately $10 million in revenues, a decrease of approximately $3 million in gross profit, a decrease of approximately $4 million in operating income, and a decrease of approximately $0.13 in earnings per share. In reaction to this news, shares of Integral Systems declined $6.38 per share, or more than 28%, to close on December 11, 2008 at $15.92 per share, on unusually heavy trading volume.
Although at this time, Dyer & Berens LLP has not filed its complaint in this matter, it specializes in complex class action litigation on behalf of injured investors throughout the nation. The firm's extensive experience in securities litigation, particularly in cases brought under the Private Securities Litigation Reform Act, has contributed to the recovery of hundreds of millions of dollars for aggrieved investors. For more information about the firm, please go to www.DyerBerens.com.