FOX & KILSHEIMER LLP FILES
CLASS ACTION SUIT AGAINST VISX, INC.
New York----Kaplan Fox & Kilsheimer LLP has commenced a class action lawsuit in the United States District Court for the Northern District of California, on behalf of
purchasers of the common stock of Visx, Inc. (Nasdaq:VISX) during the period between March 1, 1999 and February 22, 2000, inclusive (the "Class Period").
The complaint charges VISX and certain of its officers and
directors with violations of the Securities Exchange Act of 1934. The complaint alleges that defendants' false and misleading statements about the steady and increasing revenues the installed base of VISX's Excimer
Laser systems would provide to VISX, the strong procedure and equipment royalties VISX was earning, the limited impact of competition which would allow VISX to maintain its $250 per procedure licensing fee in the United
States which would lead to consistent revenue growth, and VISX's continued market share domination which would result in 2000 EPS of $1.70-1.80, artificially inflated the price of VISX stock to a Class Period high of
$103-7/8 from just $30-1/4 per share (split adjusted) at the outset of the Class Period. This upsurge in VISX's stock enabled VISX insiders to sell 1.4 million shares of their VISX stock for $97 million in proceeds. On
Dec. 10, 1999, VISX received an adverse ruling from the International Trade Commission that competitor Nidek had not infringed on VISX's patents, and its stock retreated to the $58-$60 range. This cast doubt on VISX's
competitive position and the ability to maintain its prices. However, VISX continued to represent that the $250 per procedure fee was intact. Then, on Jan. 19, 2000, VISX revealed a drop in 4thQ 99 revenues versus the
3rdQ 99 and exposed the problems VISX was having growing its business. On these disclosures, VISX's stock fell by 29% in one day to $32-1/4. However, it was not until Feb. 22, 2000, that VISX admitted it would reduce
its per procedure fee to $100. This announcement caused its stock price to drop to as low as $16 on huge volume on Feb. 23, 2000.
Plaintiff seeks to recover damages on behalf of the Class and is
represented by Kaplan Fox & Kilsheimer LLP which has many years of experience in prosecuting investor class actions and actions involving financial fraud. For more information about Kaplan Fox & Kilsheimer LLP, you may visit our website at www.KaplanFox.com.
you are a member of the Class, you may move the court no later than April 25, 2000, to serve as a lead plaintiff for the Class. In order to serve as a lead plaintiff, you must meet certain legal requirements.
have any questions about this Notice, the action, your rights, or your interests, please e-mail us at mail@KaplanFox.com or contact:
Frederic S. Fox, Esq.
Janine R. Azriliant, Esq.
Donald R. Hall, Esq.
Kaplan Fox & Kilsheimer LLP
Fax: (212) 687-7714
E-mail address: mail@KaplanFox.com
Back to the Main List
Please Click Here to Join the Class Actions or Request Information