NEW YORK, Dec. 9, 2004 (PRIMEZONE) -- Wechsler Harwood LLP today announced that it has filed a Federal Securities fraud class action suit on behalf of all purchasers of the common stock of IMPAX Laboratories, Inc. ("IMPAX" or the "Company") (Nasdaq:IPXL) between May 5, 2004 and November 3, 2004, both dates inclusive (the "Class Period").
The action, entitled Elnekave v. Impax Labs., et al., Case No. (not yet assigned), is pending in the United States District Court for the Northern District of California, and names as defendants, the Company, its Chief Executive Officer and director, Barry R. Edwards, its Chairman, Charles Hsiao, its President and director, Larry Hsu, its Senior Vice President of Sales and Marketing, David S. Doll, its Chief Financial Officer and Secretary, Cornel C. Spiegler, and director, David J. Edwards. A copy of the complaint can be obtained from the Court or can be viewed on Wechsler Harwood web site at: www.whesq.com.
The complaint charges defendants with violations of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder. More specifically, the complaint alleges that the Company failed to disclose and misrepresented that it overstated reported earnings and revenue during the first two quarters of 2004. When the Company announced, on November 3, 2004, that it was postponing release of its third-quarter financial results, the Company's share price fell 23% to $10.07 on relatively high trading volume of 4.2 million shares. On November 9, 2004, the Company announced that it was restating its reported revenues and earnings for the first and second quarters of 2004. During the Class Period, Company insiders sold their IMPAX shares for proceeds in excess of $32 million.
If you are a member of the class described above, you may, not later than January 11, 2005 to move the Court to serve as lead plaintiff of the class, if you so choose. A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member's claim is typical of the claims of other class members, and that the class member will adequately represent the class. Under certain circumstances, one or more class members may together serve as "lead plaintiff." Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. You may retain Wechsler Harwood, or other counsel of your choice, to serve as your counsel in this action.
Wechsler Harwood has taken a leading role in many important actions on behalf of defrauded shareholders. The Wechsler Harwood website (www.whesq.com) has more information about the firm and detailed information regarding this matter. If you wish to discuss this action with us, or have any questions concerning this notice or your rights and interests with regard to the case, please contact the following:
Wechsler Harwood LLP 488 Madison Avenue, 8th Floor New York, New York 10022 Toll Free Telephone: (877) 935-7400
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca.