September 15, 2008
Labaton Sucharow Files Class Action Lawsuit Against Harris Stratex Networks, Inc.
NEW YORK (September 15, 2008) – Labaton Sucharow filed a class action lawsuit on September 15, 2008 in the United States District Court for the District of Delaware, on behalf of all purchasers of the securities of Harris Stratex Networks, Inc. ("Harris Stratex" or the "Company") (NASDAQ: HSTX) between January 29, 2007 and July 30, 2008, inclusive (the "Class Period"), including shareholders of Stratex Networks, Inc. who exchanged shares of Stratex Networks, Inc. for shares of Harris Stratex Networks, Inc. pursuant to the registration statement/prospectus that became effective on January 8, 2007. The lawsuit was filed against Harris Stratex and certain officers and directors ("Defendants").
If you bought Harris Stratex securities anytime since it commenced trading on or about January 29, 2007 through and including July 30, 2008; or became a shareholder of the Company because of the merger of Stratex Networks, Inc. and the Harris Microwave Communications Division, and would like to consider serving as lead plaintiff or have any questions about the lawsuit, please contact (800)-321-0476. Lead Plaintiff motion papers must be filed with the United States District Court for the District of Delaware no later than November 14, 2008. A lead plaintiff is a court-appointed representative for absent class members. You do not need to seek appointment as lead plaintiff to share in any class recovery in this action. If you are a class member and there is a recovery for the class, you can share in that recovery as an absent class member. You may retain counsel of your choice to represent you in this action.
If you are a member of this class you can view a copy of the complaint and join this class action online at http://www.labaton.com/en/cases/Newly-Filed-Cases.cfm.
This action seeks to pursue remedies under the Securities Act of 1933 (the “Securities Act”) and the Securities Exchange Act of 1934 (the “Exchange Act”). Specifically, the complaint alleges that Defendants issued materially false and misleading statements about its financial condition prior to and following its formation in early 2007 through the date of the merger of Stratex Networks, Inc. and the Harris Microwave Communications Division.
On July 30, 2008, the Company announced that it had discovered accounting errors which rendered its previously issued financial statements to be incorrect. According to the announcement, the Company will restate earnings reports from 2005 through the present. The Company reported these accounting errors will cut previously reported pre-tax income by $18 million to $25 million. As a result of the restatement, the Company announced that its prior financial statements for the first three quarters of fiscal 2008 and the fiscal years 2005 through 2007 should no longer be relied upon. Harris Stratex’s share price fell in reaction to the announcement, falling from $11.24 to $7.35 per share – a 34.61 percent decline in value.
More information about Labaton Sucharow is available at www.labaton.com.