SOURCE: Izard Nobel LLP

April 14, 2010 17:52 ET

Izard Nobel LLP Announces Class Action Lawsuit Against Compellent Technologies, Inc.

WEST HARTFORD, CT--(Marketwire - April 14, 2010) -  The law firm of Izard Nobel LLP, which has significant experience representing investors in prosecuting claims of securities fraud, announces that a lawsuit seeking class action status has been filed in the United States District Court for the District of Minnesota on behalf of purchasers of the common stock of Compellent Technologies, Inc. ("Compellent" or the "Company") (NYSE: CML) between October 28, 2009 and April 7, 2010, inclusive (the "Class Period").

The Complaint charges that Compellent and certain of its officers and executives violated federal securities laws. Specifically, defendants failed to disclose the following material adverse facts: (i) that Compellent was experiencing increasing competition which was forcing it to dramatically lower prices in order to continue to generate sales in line with internal expectations; (ii) that as a result of increased competition, the Company was being forced to raise expenditures associated with acquiring new customers far in excess of internal expectations; (iii) that Compellent was experiencing significant issues with its sales force which were further complicating and exacerbating the negative impact of slowing sales; and (iv) that, based on the foregoing, defendants lacked a reasonable basis for their positive statements about the Company, its prospects and growth.

On April 7, 2010, Compellent announced its preliminary financial results for the first quarter of 2010, the period ended March 31, 2010. Upon the disappointing announcement, shares of the Company's stock fell $4.54 per share, or 26%, to close at $13.02 per share.

If you are a member of the class, you may, no later than June 14, 2010, request that the Court appoint you as lead plaintiff of the class. A lead plaintiff is a class member that acts on behalf of other class members in directing the litigation. Although your ability to share in any recovery is not affected by the decision whether or not to seek appointment as a lead plaintiff, lead plaintiffs make important decisions which could affect the overall recovery for class members.

While Izard Nobel LLP has not filed a lawsuit against the defendants, to view a copy of the Complaint initiating the class action or for more information about the case, and your rights, visit: www.izardnobel.com/compellent/, or contact Izard Nobel LLP toll-free: (800) 797-5499, or by e-mail: firm@izardnobel.com. For more information about class action cases in general, please visit our website: www.izardnobel.com.

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