Contact Information: Contact: Lewis Kahn KGS 1-866-467-1400, ext. 100 email: lewis.kahn@kgscounsel.com
INVESTOR ALERT: KGS Announces That Lawsuit Against Sourcefire, Inc. Has Expanded Defendants and Now Includes Underwriters
| Quelle: Kahn Gauthier Swick, LLC
NEW ORLEANS, LA -- (MARKET WIRE) -- May 22, 2007 -- Kahn Gauthier Swick, LLC ("KGS") announces
that it has filed suit against Sourcefire, Inc. ("Sourcefire" or the
"Company") (NASDAQ : FIRE ), in the United States District Court for the
District of Maryland, on behalf of shareholders who purchased shares of the
Company in connection with its Initial Public Offering ("IPO") on or about
March 9, 2007, or thereafter in the open market. KGS has expanded the
lawsuit's defendants beyond the Company, Board of Directors and CFO, to
include the underwriters involved in the Offering (including, Morgan
Stanley, Lehman Bros., UBS Securities and Jeffries & Co.), who are each
charged with including or allowing the inclusion of materially false and
misleading statements in the Registration Statement and Prospectus issued
in connection with the IPO, in direct violation of the Securities Act of
1933.
IMPORTANT: SOURCEFIRE SHAREHOLDERS HAVE ONLY UNTIL JULY 13, 2007 TO MOVE
FOR APPOINTMENT AS LEAD PLAINTIFF IN THIS SECURITIES CLASS ACTION LAWSUIT.
SHAREHOLDERS MAY CONTACT KGS MANAGING PARTNER LEWIS KAHN DIRECTLY TOLL FREE
1-866-467-1400, EXT. 100, OR VIA EMAIL LEWIS.KAHN@KGSCOUNSEL.COM FOR MORE
INFORMATION.
The defendants are charged with failing to conduct an adequate due
diligence investigation into the Company prior to the IPO, and that they
failed to disclose that the Company was not operating according to plan
regardless of the fact that the first quarter of 2007 was weeks away from
closing, despite Sourcefire not closing its contracts according to
schedule.
The Complaint alleges that on Friday, April 6, 2007, a day the markets were
closed in observance of "Good Friday" -- after defendants and other Company
insiders liquidated at least $6.75 million of their personally held shares
in or in connection with the IPO -- Sourcefire revealed the truth about the
Company, including the problems that existed at the time of the IPO, which
would result in extremely disappointing 1Q:07 results. The next trading
day, Monday, April 9, 2007, Sourcefire Shares fell almost 30%, plummeting
from $17.35 per share to close at $12.28 per share on heavy volume of over
1.629 million shares.
If you purchased shares of Sourcefire in connection with the IPO or if you
purchased shares thereafter in the open market, you are urged to contact
Lewis Kahn, Managing Partner, KGS, toll free 1-866-467-1400, ext. 100, via
cell phone at 504-301-7900, or by email at lewis.kahn@kgscounsel.com to
learn about your legal rights and how this action may benefit you. For
further information on KGS, please visit www.kgscounsel.com.
SPECIAL NOTICE: Because Courts generally appoint only one firm to prosecute
a securities fraud action on behalf of the "lead plaintiffs," who serve to
guide the litigation on behalf of the shareholders, it is critically
important that interested parties carefully evaluate any other firm that
may be competing with KGS to prosecute the Sourcefire class action.
Critical components of a law firm's ability to successfully prosecute this
action and obtain a strong recovery for you include its knowledge of
applicable federal securities laws, the resources it will dedicate to
prosecution of the case, including the number of lawyers the firm has
available for the Sourcefire class action, AND especially the quality of
the firm's work. Interested shareholders are encouraged to call for
consultation and to request more information about KGS.