BALA CYNWYD, Pa., March 18, 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 Eastern District of Virginia on behalf of all purchasers of the common stock of PEC Solutions Inc. ("PEC Solutions" or the "Company") (Nasdaq:PECS), from October 22, 2002 through March 14, 2003, 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.
Throughout the Class Period, as alleged in the complaint, defendants issued a series of materially false and misleading statements concerning the Company's business, operations and prospects. The Complaint alleges that these statements were materially false and misleading when made as they failed to disclose and misrepresented the following adverse facts, among others: (a) that the Company was experiencing declining demand for its products and services as the failure of Congress to approve a budget for 2003 was causing governmental agencies to delay projects; (b) that the Company was experiencing material problems with certain of its biometric identification contracts and would not be generating the revenue that it had anticipated from those contracts; and (c) as a result of the foregoing, the Company was materially overstating the strength of its pipeline of projects and its prospects.
On March 14, 2003, after the close of the market, as alleged in the complaint, PEC Solutions shocked the market when it issued a press release announcing that it was revising its guidance for the first quarter 2003 and for the year ending December 31, 2003. In response to this announcement, the price of PEC Solutions common stock declined precipitously falling from $15.80 per share to $9.81 per share, a decline of more than 37%, on extremely heavy trading volume. During the Class Period, prior to the disclosure of the true facts, the Individual Defendants and other PEC Solutions insiders sold their personally-held shares of PEC Solutions common stock to the unsuspecting public reaping proceeds of more than $13 million
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 19, 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