HOUSTON, Feb. 11, 2005 (PRIMEZONE) -- Emerson Poynter LLP (www.emersonpoynter.com), a national law firm with an office in Houston, TX announced today that a class action has been filed in the United States District Court for the Southern District of Texas on behalf of purchasers of Input/Output, Inc. ("Input/Output") (NYSE:IO) publicly traded securities during the period between May 10, 2004 and January 4, 2005 (the "Class Period"), including those who acquired their shares pursuant to the Company's June 2004 Secondary Stock Offering.
The complaint charges Input/Output and certain of its officers and directors with violations of the Securities Exchange Act of 1934. Input/Output is a provider of seismic acquisition imaging technology for exploration, production and reservoir monitoring in land and marine, as well as shallow water and marsh environments.
The complaint alleges that during the Class Period, defendants issued materially false and misleading statements regarding the Company's financial results and its business and prospects. According to the complaint, during the Class Period defendants failed to disclose and misrepresented the following material adverse facts which were known to defendants or recklessly disregarded by them: (a) that the Company's products were defective; (b) that customers were wrongfully induced into buying the Company's products; (c) that the integration of GX Technology ("GXT"), acquired by the Company in May 2004, and Input/Output was suffering from massive problems, preventing the acquisition from being as accretive as claimed; (d) that the GXT project pipeline was not on track, as defendants had claimed; and (e) that as a result of the above, the defendants' statements about the Company were lacking in any reasonable basis when made.
On January 4, 2005, Input/Output issued a press release wherein it announced that fourth quarter results would be significantly below the low end of the Company's guidance of $0.08 per share, primarily because two high margin GXT data library sales were not completed as expected. On this news, shares of Input/Output fell $1.41 per share, or about 17%, to close at $6.90 per share, on unusually high trading volume.
If you purchased or otherwise acquired the common securities during the Class Period (May 10, 2004 and January 4, 2005) you may, no later than March 14, 2005 move the Court to appoint you as lead plaintiff. A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. Any member of the purported class may move the Court to serve as Lead Plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. You may retain Emerson Poynter LLP or other counsel of your choice.
Emerson Poynter LLP has substantial experience representing shareholders and investors in complex class action securities, consumer, and retirement plan litigation all over the country. A complete firm resume is posted on out website (http://www.emersonpoynter.com/resources/firmresume.pdf).
If you are a member of the Class please contact Emerson Poynter LLP. You may contact our Shareholder Relations Department via email (epllp@emersonpoynter.com) or by calling 1-800-663-9817.
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca.