FOX & KILSHEIMER LLP ANNOUNCES CLASS
ACTION SUIT AGAINST TERAYON COMMUNICATIONS SYSTEMS, INC. AND CERTAIN
OF ITS OFFICERS
NEW YORK -- /Counsel for Class Plaintiff, Kaplan Fox & Kilsheimer LLP today issued the following:
action has been commenced in the United States District Court for the Central District of California on behalf of all persons who purchased or otherwise acquired the common stock of Terayon Communications Systems, Inc.
(NASDAQ: TERN) between February 2, 2000 and April 11, 2000, inclusive (the "Class Period").
The lawsuit charges Terayon and certain of its officers and directors with violations of the
Securities Exchange Act of 1934. The complaint alleges, among other things, that defendants issued materially false and misleading statements concerning the certification of the Company's proprietary S-CDMA cable modem
technology and the Company's financial condition. The complaint further alleges that defendants engaged in a scheme to deceive the investing public regarding Terayon's new product capabilities and acceptability as an
industry standard technology, foreseeable product demand, growth, operations and the intrinsic value of Terayon common stock. In addition, defendants are alleged to have registered and/or sold over $439 million
worth of Terayon shares at artificially inflated prices via share-for-share acquisitions of other companies. As a result, Company insiders were able to sell over 71,000 shares of their privately held Terayon common
stock during the Class Period, while in possession of materially adverse, undisclosed information, allowing them to reap proceeds of at least $15.9 million.
Plaintiff seeks to recover damages on behalf of
all persons who purchased or otherwise acquired Terayon common stock during the Class Period. Plaintiff is represented by the law firm of Kaplan Fox & Kilsheimer LLP and The Law Offices of Bruce G. Murphy
which have many years of experience in prosecuting investor class actions and extensive experience in actions involving financial reporting and management fraud. For more information about Kaplan Fox & Kilsheimer LLP, you may visit our website at www.KaplanFox.com. Plaintiff is also represented by the Law Offices of Bruce G. Murphy. The Law Offices of Bruce G. Murphy is involved in major securities class
actions pending in federal and state courts throughout the United States.
If you are a member of the Class described above, you may, no later than June 12, 2000, move the Court to serve as lead
plaintiff of the Class. In order to serve as lead plaintiff, however, you must meet certain legal requirements.
If you wish to discuss this action or have any questions concerning this
case or your rights or interests, please contact:
Laurence D. King, Esq.
Janine R. Azriliant, Esq.
Donald R. Hall, Esq.
Kaplan Fox & Kilsheimer LLP
Fax: (212) 687-7714
E-mail address: mail@KaplanFox.com
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