NEW YORK, March 7, 2008 (PRIME NEWSWIRE) -- The Brualdi Law Firm P.C. announces that a class action lawsuit has been filed in the United States District Court for the Northern District of California, on behalf of all purchasers of securities of SiRF Technology Holdings, Inc. (Nasdaq:SIRF), ("SiRF" or the "Company") between October 30, 2007 and February 4, 2008, inclusive (the "Class Period").
No class has yet been certified in the above action. If you are a member of the proposed Class, you may, on or before April 8, 2008, ask the Court to allow you to serve as lead plaintiff for the proposed Class. To serve as a lead plaintiff, you must satisfy certain legal requirements. In making your decision, you should take into account that those with large financial losses resulting from the alleged federal securities law violations are given preference in being appointed lead plaintiff.
To be a member of the class you need not take any action at this time, and you may retain counsel of your choice. If you wish to discuss this action or have any questions concerning this Notice or your rights or interests with respect to these matters, please contact Tali Leger, Director of Shareholder Relations at The Brualdi Law Firm P.C., 29 Broadway, Suite 2400, New York, New York 10006, by telephone toll free at (877) 495-1187 or (212) 952-0602, by email to tleger@brualdilawfirm.com or visit our website at http://www.brualdilawfirm.com/
The Complaint charges SiRF and certain of its officers and directors with violations of the Securities Exchange Act of 1934. SiRF develops and markets semiconductor and software products that are designed to enable location-awareness utilizing Global Positioning System ("GPS") and other location technologies.
The Complaint alleges that, throughout the Class Period, defendants failed to disclose material adverse facts about the Company's financial well-being, business relationships, and prospects. Specifically, defendants failed to disclose or indicate the following: (1) that there were not sufficient amounts of orders by major customers to meet the targets set by the Company; (2) that SiRF's acquisition of Centrality Communications, Inc. and its system-on-chip product line would result in overall lower margins and would adversely affect SiRF's existing product line, resulting in lower gross margins for the Company's products; (3) that SiRF was not adequately equipped to deal with competition from other companies offering superior technology, specifically with regard to cellular-enabled products; (4) that SiRF was being forced to decrease prices due to market pressures, which would adversely affect earnings and lead to lower gross margins going forward; (5) that the Company lacked adequate internal and financial controls; and (6) that, as a result of the foregoing, the Company's statements about its financial well-being and future business prospects were lacking in any reasonable basis when made. On February 4, 2008, the Company shocked investors when it announced an 89% year over year decrease in fourth quarter profits. For fourth quarter 2007, the Company reported net income of $0.7 million, as compared to $9.1 million in net income for fourth quarter 2006. Further, the Company stated that its net loss for fiscal 2007 was $10.4 million, as compared to net income of $2.4 million for fiscal 2006. Additionally, the Company gave a "miserable outcome" for the first quarter, predicting a loss of 4 cents per share. Upon the release of this news, the Company's shares fell $8.91 per share, or 54.76 percent, to close on February 5, 2008 at $7.36 per share, on unusually heavy trading volume.