Press release from Business Wire
ATTENTION SHAREHOLDERS: Ixia (XXIA) Under Investigation by The Young Law Firm For Possible Violations of Federal Securities Laws
Tuesday, April 30, 2013
ATTENTION SHAREHOLDERS: Ixia (XXIA) Under Investigation by The Young Law Firm For Possible Violations of Federal Securities Laws13:32 EDT Tuesday, April 30, 2013
PHOENIXVILLE, Pa. (Business Wire) -- The Young Law Firm is investigating potential claims on behalf of investors in Ixia (“Ixia” or the “Company”) concerning possible violations of federal securities laws. The investigation concerns how the Company has recognized revenue.
Ixia provides services and products related to IP network validation and network visibility. On March 19, 2013 Ixia announced that it was unable at that time to file its Annual Report on Form 10-K for the year ended December 31, 2012 and that it needed to correct an error related to the manner in which it recognized revenues for its warranty and software maintenance contracts.
On April 3, 2013, the Company announced it had identified an additional error in the Company's revenue recognition practices that required correction, and that the Company's management had recommended to the Audit Committee of the Company's Board of Directors (the “Audit Committee”) that the Company restate certain previously issued financial statements. The Audit Committee concurred and concluded that the Company should restate its consolidated financial statements for (i) the fiscal years ended December 31, 2011 and 2010, (ii) the fiscal quarters ended March 31, 2011, June 30, 2011, September 30, 2011 and December 31, 2011, and (iii) the fiscal quarters ended March 31, 2012, June 30, 2012 and September 30, 2012 (collectively, the “Restated Periods”). The Company further announced that its previously issued financial statements for the Restated Periods should no longer be relied upon.
Following the Company's announcement on April 3, 2013, the trading price of the Company's stock declined on unusually heavy volume, closing at $18.37 per share on April 4, 2013. The trading price of the Company's stock declined further to $17.79 the following day.
Shareholders have rights. If you purchased Ixia shares prior to April 3, 2013 and would like to learn more about these matters, please contact:
Henry Young Esq.
The Young Law Firm
or visit: www.theyounglf.com/ixia-xxia-securities-fraud-class-action/
The Young Law Firm is a national shareholder litigation firm located outside of Philadelphia, Pa. We protect individual and institutional investors in state and federal courts nationwide. For more information about the firm and class action cases in general, please visit our website: www.theyounglf.com.
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Young Law Firm
Henry Young Esq.