Purported Class Action Relating to Announcement of Amendment of EMC Agreement Filed Against Network Engines, Certain of its Officers and its Chairman of the Board
Monday December 22, 9:28 am ET
biz.yahoo.com
CANTON, Mass.--(BUSINESS WIRE)--Dec. 22, 2003--Network Engines, Inc. (Nasdaq:NENG), a leading development, manufacturing and distribution partner for storage and security software and network equipment providers, today announced that it has learned that a purported class action lawsuit was filed on December 16, 2003 in the United States District Court in the District of Massachusetts against Network Engines, John H. Curtis, its President and CEO, Douglas G. Bryant, its CFO, Vice President, Treasurer and Secretary, and Lawrence A. Genovesi, its Chairman of the Board, relating to the timing of the announcement of the amendment of its agreement with EMC Corporation regarding the resale of EMC-approved host bus adapters (HBAs). The plaintiffs in the complaint claim that Network Engines and Messrs. Curtis, Bryant and Genovesi allegedly failed to disclose that Network Engines was in the process of renegotiating its distribution contract with EMC while issuing positive statements highlighting Network Engines financial performance and related matters. The plaintiffs are seeking unspecified damages.
Network Engines believes that the action is without merit, and it intends to vigorously defend against the suit. |
