HARTFORD, Conn., Sept. 6, 2007 (PRIME NEWSWIRE) -- The law firm of Schatz Nobel Izard P.C., which has significant experience representing investors in prosecuting claims of securities fraud, announces that a lawsuit seeking class action status has been filed in the United States District Court for the Western District of Washington on behalf of all persons who purchased the common stock of Jones Soda Company ("Jones Soda") (Nasdaq:JSDA) between March 9, 2007 and August 2, 2007, inclusive (the "Class Period").
The Complaint charges that Jones Soda and certain of its officers and directors violated federal securities law. Specifically, the complaint alleges that as a result of Jones Soda's release of its fourth quarter 2006 results after the close of trading on March 8, 2007, and defendants statements that Jones Soda was expanding the sales channels of its Jones Soda product in 12-ounce cans to major retailers such as Wal-Mart, Kroger, Safeway and Kmart, Jones Soda stock traded up from its closing price of under $14 per share on March 8, 2007 to close above $17 per share on March 9, 2007. Defendants stated that Jones Soda was on track to obtain 25% of the $66 billion canned soda market during the first half of 2007.
On August 2, 2007, Jones Soda reported significantly lower-than-expected canned soda sales and difficulty getting the new canned soda product onto retailers' shelves. Despite earlier promises to have the new product onto retailer shelves in advance of the Memorial Day holiday, defendants would admit they lacked the requisite sales and distribution resources to execute the launch, failed to obtain shelf-space at the national chains and essentially bumbled the launch of Jones Soda 12-ounce cans, forcing them to cancel the advertising campaign. As a result, the first half 2007 financial performance significantly underperformed expectations. Jones Soda's stock price fell 23% to $11.70 per share.
If you are a member of the class, you may, no later than November 5, 2007, request that the Court appoint you as lead plaintiff of the class. A lead plaintiff is a class member that acts on behalf of other class members in directing the litigation. Although your ability to share in any recovery is not affected by the decision whether or not to seek appointment as a lead plaintiff, lead plaintiffs make important decisions which could affect the overall recovery for class members, including decisions concerning settlement. The securities laws require the Court to consider the class member(s) with the largest financial interest as presumptively the most adequate lead plaintiff(s).
While Schatz Nobel Izard P.C. has not filed a lawsuit against the defendants, to view a copy of the Complaint initiating the class action or for more information about the case, class action cases in general, and your rights, please contact Schatz Nobel Izard P.C. toll-free at (800) 797-5499, or by e-mail at firm@snilaw.com, or visit our website: www.snilaw.com.