PHILADELPHIA, Jan. 24, 2006 (PRIMEZONE) -- Law Offices Bernard M. Gross, P.C. (http://www.bernardmgross.com) announces that a class action lawsuit, numbered 06-0298 was commenced in the United States District Court for the Eastern District of Pennsylvania, before the Honorable Louis H. Pollak, on behalf of purchasers of AMKOR TECHNOLOGY INC. ("AMKOR" or the "Company") (Nasdaq:AMKR) securities during the class period between October 27, 2003 and July 1, 2004 who have been damaged thereby.
The action is pending against defendants Amkor Technology, Inc., James J. Kim, Chief Executive Officer of the Company, Kenneth T. Joyce, Chief Financial Officer, John N. Boruch, President and Chief Operating Officer during the class period until January 2004 and Bruce Freyman, President and Chief Operating Officer from January, 2004 to August, 2004. A copy of the Complaint is available from the Court or can be viewed on the Law Offices Bernard M. Gross, P.C. website at www.bernardmgross.com.
The Complaint charges defendants with violations of the Securities Exchange Act of 1934. The complaint alleges that during the class period defendants issued a series of materially false and misleading statements regarding the Company's increasing financial performance. These statements were each materially false and misleading when made because they failed to disclose and/or misrepresented the following adverse facts, among others: (i) that the Company was stuffing its customers with inventory far in excess of demand for the products and, as a result, customer inventories were rising above historical levels such that future sales would be impacted; (ii) that the Company was experiencing rapidly rising material costs which were far in excess of budgeted material costs, thereby negatively impacting the Company's profit margins; (iii) that the Company had stuffed its distribution channels prior to its note offering in order to artificially inflate the Company's operating results so that the Company could successfully raise $152 million; and (iv) as a result of the foregoing, Defendants' positive statements about the Company and its business were lacking in a reasonable basis at all times and therefore materially false and misleading.
On October 27, 2003, the start of the class period, Amkor issued a press release announcing that the company had returned to profitability.
Then, on April 27, 2004, Amkor issued a press release announcing that the Company was experiencing weakness for its cell phone products. Upon this news, the price of Amkor common stock declined on extremely heavy trading volume.
On July 1, 2004, Amkor issued a press release announcing that it could not meet its expected guidance for net income in the second quarter of 2004. In response to this announcement the price of Amkor common stock declined from $8.18 per share to $5.79 per share on extremely heavy trading volume of 17.2 million shares.
Then, on August 22, 2005, Amkor issued a press release announcing that the Securities and Exchange Commission ("SEC") issued a formal order of investigation concerning certain trading in Amkor securities. The SEC investigation relates to transactions in the Company's securities by certain individuals, including certain insiders or former insiders and persons associated with them.
Plaintiff seeks to recover damages on behalf of Class members and is represented by Law Offices Bernard M. Gross, P.C. which has significant experience and expertise in prosecuting class actions.
If you purchased the securities of AMKOR TECHNOLOGY, INC. (Nasdaq:AMKR) during the period October 27, 2003 and July 1, 2004, you may no later than, March 24, 2006 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 rights or interests with respect to these matters,
PLEASE CONTACT: Law Offices Bernard M. Gross, P.C.
Susan R. Gross, Esq.
Deborah R. Gross, Esq.
The Wanamaker Bldg
100 Penn Sq. East, Suite 450
Philadelphia, PA 19103
Telephone: 866-561-3600 (toll free)
or 215-561-3600
E-mail: susang@bernardmgross.com
or debbie@bernardmgross.com.
Website: http://www.bernardmgross.com
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca.