NEW YORK, Aug. 10, 2009 (GLOBE NEWSWIRE) -- The Brualdi Law Firm, P.C. announces that a lawsuit has been commenced in the United States District Court for the Northern District of Illinois on behalf of purchasers of Allscripts-Misys Healthcare Solutions, Inc. (formerly known as Allscripts Healthcare Solutions, Inc.) ("Allscripts" or the "Company") (NYSE:MDRX) common stock during the period between May 8, 2007 through Feb 13, 2008 (the "Class Period") for violations of the federal securities laws.
No class has yet been certified in the above action. Until a class is certified, you are not represented by counsel unless you retain one. If you purchased Allscripts common stock during the Class Period and wish to move the court for appointment of lead plaintiff, you must do so by October 5, 2009. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. The lead plaintiff will be selected from among applicants claiming the largest loss from investment in the Company during the Class Period. You do not need to seek appointment as a lead plaintiff in order to share in any recovery.
To be a member of the class you need not take any action at this time, and you may retain counsel of your choice. 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 Sue Lee at The Brualdi Law Firm, P.C. 29 Broadway, Suite 2400, New York, New York 10006, by telephone toll free at (877) 495-1187 or (212) 952-0602, by email to slee@brualdilawfirm.com or visit our website at http://www.brualdilawfirm.com.
According to the Complaint, during May 2007, the Company went "live" with the newest version of its EHR clinical software, Touchworks, version 11 ("V-11"). The complaint alleges that, during the Class Period, defendants issued materially false and misleading statements regarding the Company's business prospects. The complaint further alleges that defendants misrepresented and/or failed to disclose the following adverse facts: (i) that Allscripts lacked the necessary resources to install V-11 software at customer sites; (ii) that Allscripts had no historical basis to estimate the completion of V-11 or the impact V-11 sales might have on the Company's 2007 revenues and earnings; (iii) that the complexity of V-11 had materially and adversely lengthened the sales cycle and revenue recognition cycle for the Company's V-11 sales contracts; (iv) that Allscripts was currently experiencing adverse and continuing delays in the installation of V-11 software systems; and (v) that based on the foregoing, defendants had no reasonable basis for their statements and opinions concerning Allscripts' current and future financial performance and projections.
On February 13, 2008, Allscripts released its actual 2007 financial results, reporting 2007 revenue of $281.9 million or $18 million below the Company's $300 million guidance confirmed in August 2007 and $5 million short of their November earnings guidance revision. During a conference call with investors that same day, Allscripts finally admitted to V-11 installation delays that were likely to negatively impact sales and earnings well into 2008. In response to those announcements, the price of Allscripts common shares fell $4.12 per share, closing at $11.27 on February 14, 2008.