SOURCE: Yourman Alexander & Parekh LLP

February 07, 2007 18:18 ET

Yourman Alexander & Parekh LLP Announces Class Action Lawsuit Against Secure Computing Corp.

LOS ANGELES, CA -- (MARKET WIRE) -- February 7, 2007 -- Yourman Alexander & Parekh LLP, a law firm with extensive experience in prosecuting claims for securities and consumer fraud, announces that lawsuits seeking class action status have been filed on behalf of shareholders who purchased or otherwise acquired the securities of Secure Computing Corp. ("Secure Computing" or the "Company") (NASDAQ: SCUR) during the period May 4, 2006 through July 11, 2006, inclusive (the "Class Period"). The lawsuits are pending in the United States District Court for the Northern District of California.

Since a class has not yet been certified, you may not be represented by an attorney in this matter. If you purchased or acquired Secure Computing securities during the Class Period and either continue to hold those securities or sold them at a loss, the deadline to move for appointment as Lead Plaintiff is March 20, 2007. A Lead Plaintiff is the person or entity that the Court appoints to take a leadership role in prosecuting the case and to represent the interests of other similarly injured class members. The Court is required to consider the persons or entities with the largest financial losses, who express an interest in taking a leadership role in the litigation, for appointment as Lead Plaintiff. However, in order to serve as Lead Plaintiff, you must meet certain legal requirements and must formally apply to the Court to be considered for such an appointment. While your ability to share in any recovery is not affected by your decision of whether or not to seek appointment as a Lead Plaintiff, the Lead Plaintiff is responsible for making important decisions which could affect the overall recovery for class members, including decisions concerning settlement. Further, under 15 U.S.C. §78u-4(a)(4) and/or 15 U.S.C. §77z-1(a)(4), in the event that the case is successfully resolved, the Court may award a Lead Plaintiff compensation for time spent directly related to the representation of the class.

The lawsuits allege, in part, that the Company and certain of its officers and directors violated federal securities laws by issuing statements that were materially false and misleading when made, which had the effect of artificially inflating the market price. On May 4, 2006, the Company announced that it expected its second quarter 2006 revenues to be between $43 million and $45 million, with earnings per share between $0.10 and $0.12, and touted the progress of the integration of the Company's newly acquired entity. However, on July 11, 2006, the Company announced that it expected to miss its previously announced revenue and earnings guidance, anticipating revenue for the second quarter 2006 in the range of $38.5 to $39 million, with earnings per share between $0.05 and $0.06, and would report a loss for second quarter 2006. It is also alleged that the Company admitted that the delay in integration of the Company's newly acquired entity contributed to the loss in revenue. Shares of Secure Computing declined on this news, falling from $8.07 per share to $4.99 per share, a one-day decline of 38%.

If you: (i) wish to discuss these lawsuits, have information concerning these cases, or acquired shares through your Secure Computing retirement account or 401K; (ii) have questions concerning this Notice or your rights or interests with respect to this litigation; or (iii) have any other potential matters that you would care to discuss, please contact Vahn Alexander or Behram Parekh of Yourman Alexander & Parekh LLP, 3601 Aviation Blvd., Suite 3000, Manhattan Beach, California 90266 by telephone, toll-free at (800) 725-6020, or by email to There will be no obligation or cost to you concerning your inquiry. For more information about the firm or cases currently being investigated or prosecuted by the firm, please visit