Glancy Binkow & Goldberg LLP Announces Lead Plaintiff Deadline In The Class Action Lawsuit Against Tellabs, Inc.
Glancy Binkow & Goldberg LLP announces that purchasers of the securities
of Tellabs, Inc. (“Tellabs” or the “Company”) (Nasdaq:TLAB) between
October 26, 2010 and April 26, 2011, inclusive (the “Class Period”),
have until March 25, 2013 to file a motion with the Court to be
appointed as lead plaintiff. The shareholder lawsuit was filed in the
United States District Court for the Northern District of Illinois.
The Complaint charges Tellabs and certain of the Company’s executive
officers with violations of federal securities laws. Tellabs designs,
develops and supports telecommunications networking products. The
Complaint alleges that throughout the Class Period, the defendants made
false and/or misleading statements, as well as failed to disclose
material adverse facts about Tellabs’ business, operations and
prospects. Specifically, the Complaint alleges that the defendants
failed to disclose, among others: (1) that in the fourth quarter of
2010, the Company was changing its distribution arrangement with a
customer; (2) that this change to the distribution arrangement masked
that Tellabs’ business was declining substantially faster than the
Company had represented to the public; (3) that the Company's North
American business was slowing at a greater rate than the Company had
represented to the public; and (4) that, as a result of the above, the
defendants' positive statements about the Company's business, operations
and prospects lacked a reasonable basis.
On January 25, 2011 Tellabs announced its financial results for the
fourth quarter of 2010. While the Company’s revenue of $410.5 million
was purportedly in line with the low end of its previously issued
revenue guidance, Tellabs disclosed that its quarterly revenue had
substantially benefited from a change to its distribution agreement with
a customer. On this news, shares of Tellabs declined $1.35 per share,
almost 20%, to close on January 25, 2011 at $5.69 per share, on
unusually heavy volume.
Thereafter, on April 26, 2011, the Company announced its financial
results for the first quarter of 2011, which further reflected
substantial weakness in its North American business. On this news,
shares of Tellabs further declined $0.49 per share, almost 10%, to close
on April 26, 2011 at $4.90 per share, on unusually heavy volume.
If you purchased Tellabs securities between October 26, 2010 and April
26, 2011, you may move the Court no later than March 25, 2013 to serve
as lead plaintiff; however, you must meet certain legal requirements. To
be a member of the Class you need not take action at this time; you may
retain counsel of your choice or take no action and remain an absent
Class member. To learn
more about this action, or if you have any questions concerning this
Notice or your rights or interests with respect to these matters, please
contact Michael Goldberg, Esquire, of Glancy Binkow & Goldberg LLP, 1925
Century Park East, Suite 2100, Los Angeles, California 90067, by
telephone at (310) 201-9150, Toll Free at (888) 773-9224, by e-mail to shareholders@glancylaw.com,
or visit our website at http://www.glancylaw.com.
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