Fourth graph, first sentence of release should read: If you purchased the common stock of Spectrum from August 8, 2012 through March 12, 2013 (the “Class”) and you wish to serve as lead plaintiff in this action, you must move the Court no later than May 13, 2013. (sted May 16, 2013).
The corrected release reads:
ABRAHAM, FRUCHTER & TWERSKY, LLP ANNOUNCES THAT A CLASS ACTION LAWSUIT HAS BEEN FILED AGAINST SPECTRUM PHARMACEUTICALS, INC.
Abraham, Fruchter & Twersky, LLP announces that a securities class action lawsuit has been filed in the United States District Court for the District of Nevada on behalf of all persons or entities who purchased the common stock of Spectrum Pharmaceuticals, Inc. (“Spectrum” or the “Company”) (NASDAQ:SPPI) from August 8, 2012 through March 12, 2013, inclusive (the “Class Period”). The complaint alleges violations of Section 10(b) of the Securities and Exchange Act of 1934 and Rule 10b-5, promulgated thereunder, against the Company and certain of its officers and directors.
The complaint alleges that throughout the Class Period, defendants made false and misleading statements to the investing public by dismissing concerns that sales of FUSILEV
(an oncology drug manufactured by Spectrum) would be adversely affected by increased supplies of leucovorin (a generic and competing drug of FUSILEV) and concealing the impact that the increased availability of leucovorin would have on FUSILEV sales. The complaint alleges that the defendants knew that when the availability of leucovorin increased, Spectrum would not be able to sustain its business outlook and revenue projections.
After the market closed on March 12, 2013, Spectrum surprised the market by reporting in a press release that sales of FUSILEV would be dropping significantly due to “a change in ordering patterns of FUSILEV.” The Company also decreased their full-year 2013 revenues forecast to a range of $160 to $180 million, significantly lower than analysts’ revenue expectations of $297.33 million. In a reaction to this news, shares of Spectrum common stock fell $4.64 per share, or 37%, on extremely high trading volume of 22.5 million shares.