RADNOR, Pa., July 16 LAWFUEL – The Litigation Newswire — The following statement was issued today by the law firm of Schiffrin Barroway Topaz & Kessler, LLP:
Notice is hereby given that a class action lawsuit was filed in the
United States District Court for the Northern District of Illinois on
behalf of all common stock purchasers of Midway Games Inc. (NYSE: MWY)
(“Midway” or the “Company”) from August 4, 2005 to May 24, 2006 inclusive
(the “Class Period”).
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 Schiffrin Barroway Topaz & Kessler, LLP (Darren J. Check,
Esq. or Richard A. Maniskas, Esq.) toll free at 1-888-299-7706 or
1-610-667-7706, or via e-mail at [email protected]
The Complaint charges Midway and certain of its officers and directors with violations of the Securities Exchange Act of 1934. Midway is a leading developer and publisher of interactive entertainment software for the global video game market, including all major video game systems. More specifically, the Complaint alleges that the Company failed to disclose and misrepresented the following material adverse facts which were known to defendants or recklessly disregarded by them: (1) that the Company was
grossly underperforming because it was experiencing operational
difficulties; (2) as such, the Company would be forced to engage in a
restructuring program at a cost of over $17 million; (3) that the Company
was in severe need of capital to continue operations, and as a result would be required to secure debt financing; and (4) as a result of the above, the Company’s financial and operational statements were lacking in any
reasonable basis when made.
Between December 16, 2005 and May 24, 2006, the Company made a series
of disclosures concerning the true state of its business operations. These disclosures caused shares of the Company’s stock to decline from $23.25 per share on December 16, 2005, to $7.39 per share on May 25, 2006, a
cumulative decline of $15.86 per share, or over 67 percent of their value.
Plaintiff seeks to recover damages on behalf of class members and is
represented by the law firm of Schiffrin Barroway Topaz & Kessler which
prosecutes class actions in both state and federal courts throughout the
country. Schiffrin Barroway Topaz & Kessler is a driving force behind
corporate governance reform, and has recovered billions of dollars on
behalf of institutional and individual investors from the United States and around the world.
For more information about Schiffrin Barroway Topaz & Kessler or to
sign up to participate in this action online, please visit http://www.sbtklaw.com
If you are a member of the class described above, you may, not later
than September 4, 2007, 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 Schiffrin Barroway Topaz & Kessler or other counsel of your choice, to serve as your counsel in this action.
CONTACT: Schiffrin Barroway Topaz & Kessler, LLP
Darren J. Check, Esq.
Richard A. Maniskas, Esq.
280 King of Prussia Road
Radnor, PA 19087
1-888-299-7706 (toll free) or 1-610-667-7706
Or by e-mail at [email protected]