SOURCE: Abraham Fruchter & Twersky LLP

August 19, 2005 15:00 ET

Abraham Fruchter & Twersky LLP Files Class Action Suit Against Symbol Technologies, Inc.

NEW YORK, NY -- (MARKET WIRE) -- August 19, 2005 --Abraham Fruchter & Twersky LLP today announced that a class action has been commenced in the United States District Court for the Eastern District of New York on behalf of purchasers of Symbol Technologies, Inc. ("Symbol") (NYSE: SBL) publicly traded securities during the period between May 10, 2004 and August 1, 2005 (the "Class Period").

The complaint charges Symbol and certain of its officers and directors with violations of the Securities Exchange Act of 1934. Symbol engages in the design, development, manufacture, and service of products and systems used in enterprise mobility solutions.

The complaint alleges that, throughout the Class Period, defendants issued numerous positive statements about the Company's performance and future prospects. As alleged in the Complaint, these statements were materially false and misleading because defendants failed to disclose and/or misrepresented the following adverse facts, which were known, or recklessly disregarded by them, at all relevant times: (a) that Symbol had inadequate and deficient internal and financial controls; (b) that Symbol's reported expenses were understated; (c) that Symbol had massive overcapacity, inefficient operations and obsolete assets; (d) that Symbol was experiencing declining demand for its products; and (e) as a result of the foregoing, defendants' statements concerning the Company's financial prospects were lacking in a reasonable basis at all relevant times.

As the market learned the true information about Symbol, the inflation caused by Defendants' misrepresentations was removed and the price of Symbol common stock fell by nearly 50% from its Class Period high.

Plaintiff seeks to recover damages on behalf of all purchasers of Symbol publicly traded securities during the Class Period (the "Class"). The plaintiff is represented by Abraham Fruchter & Twersky LLP, which has expertise in prosecuting investor class actions and extensive experience in actions involving financial fraud.

If you wish to serve as lead plaintiff, you must meet certain legal requirements set forth in the applicable law and file appropriate papers with the Court by October 17, 2005. You do not need to seek appointment as a lead plaintiff in order to share in any recovery. Under certain circumstances, one or more Class members may together serve as lead plaintiff. You may retain Abraham, Fruchter & Twersky, LLP, or other counsel of your choice, to serve as your counsel in this action or you may choose to do nothing and remain an absent class member.

If you have any questions concerning this case or your rights or interests with respect to this matter, please contact plaintiff's counsel: Jack G. Fruchter, Esq. of Abraham, Fruchter & Twersky, LLP, One Penn Plaza, Suite 2805, New York, New York 10119, by telephone at (212) 279-5050 or toll free at (800) 440-8986, by facsimile at (212) 279-3655, or by e-mail at jfruchter@aftlaw.com.

Contact Information

  • Contact:
    Abraham Fruchter & Twesky LLP
    Jack Fruchter
    800-440-8986
    Email Contact