NEW ORLEANS, LA--(Marketwire - November 3, 2010) - Kahn Swick & Foti, LLC ("KSF") and its partner, the former Louisiana Attorney General Charles C. Foti, Jr., remind investors that they have only until November 12, 2010, to file lead plaintiff applications in a securities class action lawsuit in the United States District Court for the Southern District of New York on behalf of purchasers of DG FastChannel, Inc. ("DG FastChannel") (
What You May Do
If you are a DG FastChannel shareholder and would like to discuss your legal rights and how this case might affect you and your right to recover for your economic loss, you may, without obligation or cost to you, e-mail or call KSF Managing Partner, Lewis Kahn (lewis.kahn@ksfcounsel.com), toll free 1-866-467-1400, ext. 200, or via cell phone any time at 504-301-7900, or KSF Director of Client Relations, Neil Rothstein, Esq. (neil.rothstein@ksfcounsel.com), toll free at 877-694-9510, or via cell phone any time at 330-860-4092. If you wish to serve as a lead plaintiff in this class action by overseeing lead counsel with the goal of obtaining a fair and just resolution, you must act urgently and request this position by application to the Court by November 12, 2010. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. KSF encourages both institutional and individual purchasers of DG FastChannel to contact the firm. The ultimate resolution of any securities class action is strengthened through the involvement of aggrieved shareholders and lead plaintiffs who have large financial interests.
About the Lawsuit
The Complaint alleges that DG FastChannel failed to disclose a material shift in customer mix for its Pathfire service until August 30, 2010, when, before the opening of trading, DG FastChannel issued a press release that, stated, in part, "[w]hile DG FastChannel's pricing has remained stable and the HD business is strong, we are seeing normal seasonality in our SD volumes following a particularly strong Q2. This seasonality is being exaggerated by the strong rebound in spending from the second to third quarter in 2009, which masked the normal seasonality. In addition, the shift in our customer mix as we transition the Company's Pathfire long-form platform from a wholesale to a full service business model has put short term pressure on revenues, but we expect that our new customer acquisitions will start to contribute in the fourth quarter..."
On August 30, 2010, shares of DG FastChannel declined from a close on August 29, 2010 of $24.54 per share, to close at $15.11 per share, a precipitous decline of $9.43 per share or approximately 38% on heavier than usual volume.
About Kahn Swick & Foti, LLC
KSF, whose partners include the Former Louisiana Attorney General Charles C. Foti, Jr., is a law firm focused on securities class action and shareholder derivative litigation with offices in New York and Louisiana. KSF's lawyers have significant experience litigating complex securities class actions nationwide on behalf of both institutional and individual shareholders. Recent cases include In re Virgin Mobile USA IPO Litigation, 2:07-cv-05619-SDW-MCA (D. N.J.), Co-Lead Counsel, $19.5 Million Settlement Preliminarily Approved; In re BigBand Networks, Inc Securities Litigation, 3:07-CV-05101-SBA (C.D. Cal.), Co-Lead Counsel, $11 million settlement; In re U.S. Auto Parts Networks, Inc. Securities Litigation, 2:07-cv-02030-GW-JC (C.D. Cal.),Lead Counsel, $10 million settlement. KSF is also federally court-appointed Co-Lead Counsel in THE shareholder derivative cases against AIG and Bank of America (Merrill Lynch merger) emanating from their recent multi-billion dollar economic declines.
To learn more about KSF, you may visit www.ksfcounsel.com.
Contact Information:
Contact:
Kahn Swick & Foti, LLC
Lewis Kahn
Managing Partner
866-467-1400, ext. 200
or after hours via cell phone 504-301-7900
lewis.kahn@ksfcounsel.com
206 Covington St.
Madisonville, LA 70447