Glancy Binkow & Goldberg LLP, Representing Investors Who Purchased GSI Group Inc., Announces Class Action Lawsuit and Seeks to Recover Losses -- GSIG

• Press Release
• Source: Glancy Binkow & Goldberg LLP
• On 11:19 pm EST, Friday December 12, 2008

LOS ANGELES, Dec. 12, 2008 (GLOBE NEWSWIRE) -- Notice is hereby given that Glancy Binkow & Goldberg LLP has filed a class action lawsuit in the United States District Court for the District of Massachusetts on behalf of a Class consisting of all persons or entities who purchased or otherwise acquired the securities of GSI Group Inc. (``GSI Group'' or the ``Company'') (NasdaqGS:GSIG - News), between April 30, 2008 and December 3, 2008, inclusive (the ``Class Period'').

Related Quotes

Symbol	Price	Change
GSIGQ.PK	0.73	+0.06

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A copy of the Complaint is available from the court or from Glancy Binkow & Goldberg LLP. Please contact us by phone to discuss this action or to obtain a copy of the Complaint at (310) 201-9150 or Toll Free at (888) 773-9224, by email at info@glancylaw.com, or visit our website at http://www.glancylaw.com.

The Complaint charges GSI Group and certain of its executive officers with violations of federal securities laws. Among other things, plaintiff claims that defendants' material omissions and dissemination of materially false and misleading statements concerning the Company's business, operations and prospects, caused GSI Group's stock price to become artificially inflated, inflicting damages on investors. GSI Group supplies precision technology to medical, electronics and industrial markets and semiconductor systems.

The Complaint alleges that throughout the Class Period defendants knew or recklessly disregarded that their public statements were materially false and misleading. Specifically, the Complaint alleges that defendants' public statements were false and misleading or failed to disclose or indicate the following: (1) that the Company improperly recognized revenue; (2) that as a result, the Company misstated its financial results during the Class Period; (3) that the Company's financial results were not prepared in accordance with Generally Accepted Accounting Principles; (4) that the Company lacked adequate internal and financial controls; and (5) as a result of the above, the Company's financial statements were materially false and misleading at all relevant times.

On December 4, 2008 GSI Group shocked investors when it announced that it would restate its financial statements for the first and second fiscal quarters of 2008. GSI Group revealed that revenue of approximately $8,982,000 recognized in the first fiscal quarter ended March 28, 2008 and revenue of approximately $7,194,000 recognized in the second fiscal quarter ended June 27, 2008 should have been deferred until the delivery of additional equipment in accordance with the Financial Accounting Standards Board's EITF 00-21, ``Revenue Arrangements with Multiple Deliverables.'' The Company further disclosed that, as a result of the foregoing, the Audit Committee of the Board of Directors of GSI Group had determined that the previously issued financial statements contained in GSI Group's Quarterly Reports on Form 10-Q for the periods ended March 28, 2008 and June 27, 2008 should no longer be relied upon. On this news, shares of GSI Group declined $0.28 per share, or 29.17%, to close on December 4, 2008, at $0.68 per share, on unusually heavy volume.

Plaintiff seeks to recover damages on behalf of Class members and is represented by Glancy Binkow & Goldberg LLP, a law firm with significant experience in prosecuting class actions, and substantial expertise in actions involving corporate fraud.

If you are a member of the Class described above, you may move the Court, no later than 60 days from the date of this Notice, 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 Notice or your rights or interests with respect to these matters, please contact Michael Goldberg, Esquire, of Glancy Binkow & Goldberg LLP, 1801 Avenue of the Stars, Suite 311, Los Angeles, California 90067, by telephone at (310) 201-9150 or Toll Free at (888) 773-9224 or by e-mail to info@glancylaw.com.

         Glancy Binkow & Goldberg LLP, Los Angeles, CA
         Lionel Z. Glancy
         Michael Goldberg
         (310) 201-9150
         Toll-Free: (888) 773-9224
         info@glancylaw.com
         www.glancylaw.com