BALA CYNWYD, Pa., March 17, 2003 (PRIMEZONE) -- The following statement was issued today by the law firm of Schiffrin & Barroway, LLP:
Notice is hereby given that a class action lawsuit was filed in the United States District Court for the Southern District of New York on behalf of all purchasers of the common stock of Caminus Corporation ("Caminus" or the "Company") (Nasdaq:CAMZ), from February 12, 2002 through July 8, 2002, inclusive (the "Class Period").
If you wish to discuss this action or have any questions concerning this notice or your rights or interests with respect to these matters, please contact Schiffrin & Barroway, LLP (Marc A. Topaz, Esq. or Stuart L. Berman, Esq.) toll free at 1-888-299-7706 or 1-610-667-7706, or via e-mail at info@sbclasslaw.com.
The Complaint alleges that defendants violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, and Rule 10b-5 promulgated thereunder, by issuing a series of material misrepresentations to the market between February 12, 2002 and July 8, 2002, thereby artificially inflating the price of Caminus' securities. Specifically, as alleged in the Complaint, defendants issued numerous statements regarding the Company's future prospects and describing how demand for the Company's products continued to be strong. As alleged in the Complaint, these statements were each materially false and misleading because defendants failed to disclose and misrepresented, among other things, the following material adverse facts which were known to defendants or recklessly disregarded by them: (a) that the Company's business was coming under increasing pressure as many of Caminus' clients were deferring product purchases and/or determining not to proceed at all with planned purchases; (b) that the Company's strategic consulting business was not performing to the Company's expectations and would not be able to contribute the revenues and earnings that were anticipated; and (c) that the market for Caminus' products was quickly deteriorating as many energy companies were being heavily scrutinized by regulatory authorities, experiencing declining financial condition and grappling to fix the deficiencies in their respective businesses. Moreover, energy trading -- an area where Caminus provided software systems -- was in steep decline as many of the major players exited the field amid scandal.
On July 8, 2002, the last day of the Class Period, Caminus shocked the market when it announced that revenues for the second quarter would be $7 million less than previously promised and that the Company now would experience a loss, as compared to the $0.03 per share profit previously represented. The Company attributed the earnings shortfall to "delays in timing of several sizeable software deals ...." The market's reaction to this announcement was immediate and punitive, with shares of Caminus common stock falling from $5.95 per share to $2.99 per share, on extremely heavy trading volume.
Plaintiff seeks to recover damages on behalf of class members and is represented by the law firm of Schiffrin & Barroway, which prosecutes class actions in both state and federal courts throughout the country. Schiffrin & Barroway is a driving force behind corporate governance reform, and has recovered in excess of a billion dollars on behalf of institutional and high net worth individual investors. For more information about Schiffrin & Barroway, or to sign up to participate in this action online, please visit http://www.sbclasslaw.com/cgi/signup.cgi.
If you are a member of the class described above, you may, not later than May 12, 2003, move the Court to serve as lead plaintiff of the class, if you so choose. In order to serve as lead plaintiff, however, you must meet certain legal requirements.
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca