SOURCE: Izard Noble LLP

March 16, 2011 17:04 ET

Izard Nobel LLP Announces Class Action Lawsuit Against Finisar Corporation

WEST HARTFORD, CT--(Marketwire - March 16, 2011) - 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 Northern District of California on behalf of purchasers of the common stock of Finisar Corporation ("Finisar" or the "Company") (NASDAQ: FNSR) between December 2, 2010 and March 8, 2011, inclusive (the "Class Period").

The Complaint charges Finisar and certain of its officers and directors violated federal securities laws by making false and misleading statements regarding the Company's business and financial results. Specifically, defendants failed to disclose that Finisar's recent revenue growth was due to an oversupply of inventory in the market and that Finisar would be unable to sustain its strong growth due to increased pricing pressures and a slowdown in business from China. As a result of defendants' false statements, Finisar's stock traded at artificially inflated prices during the Class Period, reaching a high of $43.23 per share on February 14, 2011.

On March 8, 2011, Finisar announced its third quarter fiscal year 2011 results. The Company reported earnings of $18.8 million, or $0.22 diluted earnings per share, and revenue of $263.0 million. Finisar further reported its fourth quarter 2011 revenues would be in the range of $235 to $250 million, lower than analysts' estimates. On this news, Finisar's stock fell $15.43 to close at $24.61 per share on March 9, 2011.

If you are a member of the class, you may, no later than May 16, 2011, 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/finisar/, 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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