NEW YORK, May 16, 2003 (PRIMEZONE) -- Notice is hereby given that a class action lawsuit was commenced in the United States District Court for the District of Oregon on behalf of all purchasers of Electro Scientific Industries, Inc. ("Electro Scientific" or the "Company") (Nasdaq:ESIOE) securities between September 17, 2002 and April 15, 2003, inclusive (the "Class Period"). A copy of the complaint filed in this action can be viewed on the firm's website at www.faruqilaw.com.
The complaint charges defendants with violations of federal securities laws by, among other things, issuing a series of materially false and misleading press releases concerning Electro Scientific's financial results and business prospects. Specifically, the complaint alleges that Electro Scientific failed to disclose that the Company inflated its operating results by utilizing improper accounting methods when accounting for, amongst other things, the Company's sales. Besides overstating its sales figures, the Company was understating the cost of sales, in violation of Generally Accepted Accounting Principles ("GAAP") and its own revenue recognition policies. As a result, the price of the Company's securities were artificially inflated during the Class Period, allowing certain Electro Scientific insiders to sell significant amounts of personally held Electro Scientific stock. On March 20, 2003, however, the Company shocked the market when it announced it would be restating certain quarterly financial statements. The again on April 15, 2003, Electro Scientific announced a second restatement of certain quarterly amounts.
Plaintiff seeks to recover damages on behalf of himself and all other individual and institutional investors who purchased or otherwise acquired Electro Scientific securities between September 17, 2002 and April 15, 2003, excluding defendants and their affiliates. Plaintiff is represented by Faruqi & Faruqi, LLP, a law firm with extensive experience in prosecuting class actions, and significant expertise in actions involving corporate fraud.
If you wish to obtain information concerning joining this action you can do so under the "Join Lawsuit" section of our website at www.faruqilaw.com
If you purchased Electro Scientific securities during the Class Period, you may, not later than May 27, 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. If you wish to discuss this action, or have any questions concerning this notice or your rights or interests, please contact:
ANTHONY VOZZOLO, ESQ. FARUQI & FARUQI, LLP 320 East 39th Street New York, NY 10016 Telephone: (877) 247-4292 or (212) 983-9330 e-mail: Avozzolo@faruqilaw.com
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca