The Company also announced that the restatement would show a change in the Company's accounting treatment for certain exploration and development costs. According to Ormat, these costs were capitalized on an area-of-interest basis using an accounting method that is analogous to the full cost method, and upon review of this accounting treatment in response to comment letters from the Staff of the Securities and Exchange Commission, the Company concluded that this accounting treatment was inappropriate in certain respects. Ormat additionally indicated that the Company planned to revise its consolidated financial statements as of and for the three- and nine-month periods ended September 30, 2009.As a result of this news, Ormat shares declined $1.28 per share, or nearly 4%, to close on February 24, 2010, at $31.90 per share, and further declined over the following two days to close on February 26, 2010, at $28.93 per share, on heavy trading volume. Over the course of these three days of trading, Ormat shares declined a total of 12.81%, or $4.25 per share. Plaintiffs seek to recover damages on behalf of all Class members who purchased or otherwise acquired shares of Ormat during the Class Period. If you purchased or otherwise acquired Ormat shares during the Class Period, and either lost money on the transaction or still hold the shares, you may wish to join in the action to serve as lead plaintiff. In order to do so, you must meet certain requirements set forth in the applicable law and file appropriate papers no later than May 10, 2010. A “lead plaintiff” is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the court must determine that the class member’s claim is typical of the claims of other class members, and that the class member will adequately represent the class. Under certain circumstances, one or more class members may together serve as lead plaintiff. Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. You may retain Bernstein Liebhard LLP, or other counsel of your choice, to serve as your counsel in this action.
Bernstein Liebhard has pursued hundreds of securities and consumer cases and recovered almost $3 billion for its clients. It has been named to The National Law Journal’s “Plaintiffs’ Hot List” in each of the last seven years.You can obtain a copy of the complaint on our website, www.bernlieb.com, or from the clerk of the court for the United States District Court for the District of Nevada.
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