Barrack Rodos Files Suit Against Pathogenesis Corp. (PGNS), and Its Officers and Directors Alleging Misrepresentations
PHILADELPHIA, March 29 /PRNewswire/ -- Counsel for Class Plaintiff, Barrack, Rodos & Bacine, today issued the following:
A class action has been commenced in the United States District Court for the Western District of Washington on behalf of all persons who purchased the common stock of PathoGenesis Corp. (Nasdaq: PGNS - news; ''PathoGenesis'' or the ''Company'') between January 26, 1999 and March 22, 1999, inclusive (the ''Class Period'').
The complaint charges PathoGenesis and certain officers of the Company with violations of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934. The complaint alleges that defendants issued a series of materially false and misleading statements during the class period about the market for its principal product, tobramycin solution for inhalation (TOBI). On March 22, 1999, the Company revealed that sales for the first quarter would only be about $10 million, and that it expected to report a net loss of $0.30 per share versus analysts' consensus estimates of a $0.20 profit. In addition, the Company said sales for the year would likely be in the $62-$63 million range as opposed to $90-$100 million. As a result of this announcement, the stock price fell on March 23rd by over 22 points, from approximately $34 per share to $12 per share on volume of over 22 million shares.
The plaintiff seeks to recover damages on behalf of all purchasers of PathoGenesis common stock during the Class Period. She is represented by the law firm of Barrack, Rodos & Bacine, which has extensive experience in prosecuting investor class actions involving financial fraud. Barrack, Rodos & Bacine has prosecuted securities, antitrust and consumer class actions for over 20 years. The firm has offices in Philadelphia, San Diego, New York, Boston and New Jersey and has been designated lead counsel by federal and state courts across the country in large, complex cases. For more information about Barrack, Rodos & Bacine, please visit their website at www.barrack.com.
If you are a member of the Class described above, you may, no later than May 13, 1999, move the Court to serve as lead plaintiff of the Class, if you so choose. In order 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 case or your rights or interests, please immediately contact:
Maxine S. Goldman
Shareholder Relations Manager
Barrack, Rodos & Bacine, Counsel for Class Plaintiff
3300 Two Commerce Square
2001 Market Street
Philadelphia, PA 19103
800-417-7305 or 215-963-0600
fax number 888-417-7306 or 215-963-0838
e-mail at msgoldman@barrack.com
SOURCE: Barrack, Rodos & Bacine |
