NEW YORK, Sept. 30, 2002 (PRIMEZONE) -- Notice is hereby given that Kirby, McInerney & Squire LLP commenced a class action lawsuit in the United States District Court for the Northern District of California on behalf of a class (the "Class") consisting of all persons who purchased securities of ESS Technology, Inc. ("ESS" or the "Company") (Nasdaq:ESST) between January 23, 2002 to September 12, 2002, inclusive (the "Class Period").
A copy of the complaint is available from the Court or from Kirby McInerney & Squire. Please visit our website, which offers summary and detailed information concerning the case at www.kmslaw.com/ess_technology/ess.htm, or contact us by phone at (888) 529-4787 or by email at washburn@kmslaw.com .
The Complaint charges ESS and certain of its officers and directors with violations of federal securities laws. Among other things, plaintiff claims that defendants' material omissions and the dissemination of materially misleading statements regarding the nature of ESS's revenue and business prospects caused ESS's stock price -- during the Class Period -- to become artificially inflated, inflicting damages on investors. The complaint alleges that defendants failed to disclose the declining demand, downward price pressure and increasing commodification of ESS's core product -- DVD-processor chips -- as new competitors gained market share. When these problems, their effects, and the true state of the Company's business prospects were revealed on the last day of the Class Period, ESS Technology shares lost more than 30% of their value in one day.
Plaintiffs are represented by Kirby McInerney & Squire, LLP, which specializes in complex litigation, including securities actions. The firm has repeatedly demonstrated its expertise in this field, and has been recognized by various courts which have appointed the firm to major positions in consolidated and multi-district litigation. The firm's efforts on behalf of shareholders in securities litigation have resulted in recoveries totaling hundreds of millions of dollars, and its achievements and quality of service have been chronicled in numerous published decisions. More information about the firm, representative actions in general or about the role of the lead plaintiff in a securities action can be obtained through Kirby McInerney & Squire's website at http://www.kmslaw.com.
If you invested during the period described above, you may, no later than October 28, 2002, move the Court to serve as lead plaintiff in the litigation, if you so choose, pursuant to the Private Securities Litigation Reform Act of 1995 (the "PSLRA"), 15 U.S.C. section 78u-4(a). A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. Your ability to share in any recovery is not, however, affected by the decision whether or not to seek appointment as a lead plaintiff. For more information about the case, its claims, and your rights, please contact:
Ira M. Press, Esq. Ian Washburn KIRBY McINERNEY & SQUIRE, LLP 830 Third Avenue, 10th Floor New York, New York 10022 Telephone: (212) 317-2300 or Toll Free (888) 529-4787 E-Mail: washburn@kmslaw.com
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca