Digital TV Chipmaker Tvia Says Shareholder Lawsuit Without Merit

Authored by Mark Hefflinger on October 11, 2006 - 2:19pm.

Santa Clara, Calif. - Tvia, a chipmaker for next-generation digital televisions, said on Wednesday that a shareholder class action lawsuit filed against the company, alleging violations of federal securities laws, is without merit. Filed in U.S. District Court in Northern California, the shareholder suit seeks unspecified damages for those who purchased Tvia stock between Aug. 8, 2006 and Sept. 27, 2006, and alleges the company artificially inflated the market price of its shares. Santa Clara, Calif.-based Tvia said it will seek a dismissal of all charges. The company's shares plunged 57% in late September, after it cut its second quarter outlook to revenue of $300,000 to $400,000, down from first quarter revenue of $5.1 million. Tvia attributed the lowered projections to a shortage of LCD panels and other digital TV products.
http://biz.yahoo.com/prnews/061010/sftu121.html?.v=61
http://biz.yahoo.com/prnews/061010/datu054.html?.v=42
http://www.tvia.com