Cohen Milstein encourages all investors who purchased ModusLink common stock between September 27, 2007 and June 8, 2012 or former employees with information concerning this matter to contact the firm.If you are a ModusLink shareholder and would like to discuss your right to recover for your economic loss, you may, without any cost or obligation, call Cohen Milstein’s Managing Partner, Steven J. Toll at (888) 240-0775 or (202) 408-4600, or email him at firstname.lastname@example.org. If you wish to serve as lead plaintiff, you must move the Court no later than August 13, 2012 to request that the Court appoint you as lead plaintiff. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. To be appointed lead plaintiff, the Court must decide that your claim is typical of the claims of other class members, and that you will adequately represent the class. Your share in any recovery will not be enhanced or diminished by the decision whether or not to serve as a lead plaintiff. Any member of the proposed class may retain Cohen Milstein Sellers & Toll PLLC or other attorneys to serve as your counsel in this action, or you may do nothing and remain an absent class member. Cohen Milstein Sellers & Toll PLLC has significant experience in prosecuting investor class actions and actions involving securities fraud. The firm has offices in Washington, D.C., New York, Chicago, Philadelphia and West Palm Beach, and is active in major litigation pending in federal and state courts throughout the nation. The firm’s reputation for excellence has repeatedly been recognized by courts which have appointed the firm to lead positions in complex multi-district or consolidated litigation. Cohen Milstein Sellers & Toll PLLC has taken a lead role in numerous important cases on behalf of defrauded investors, and has been responsible for a number of outstanding recoveries which, in the aggregate, total over a billion dollars. Prior results do not guarantee a similar outcome. For more information visit www.cohenmilstein.com. If you have any questions about this notice or the action, or with regard to your rights, please contact either of the following:
Cohen Milstein Sellers & Toll PLLC is conducting an investigation to determine whether ModusLink Global Solutions, Inc. (“ModusLink” or the “Company”) and certain of its officers and directors made false and misleading statements and/or omissions in violation of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934. Class action lawsuits were filed in the U.S. District Court for the District of Massachusetts by other law firms on behalf of purchasers of the common stock of ModusLink Global Solutions, Inc. (NASDAQGS: MLNK) between September 27, 2007 and June 8, 2012, inclusive (the “Class Period”). The complaints allege that defendants misrepresented and/or failed to disclose that: (1) the Company's accounting for rebates associated with volume discounts provided by vendors was improper and misleading; (2) the Company's financial statements did not provide a fair presentation of the Company's finances and operations and were not prepared in accordance with GAAP; (3) the Company lacked adequate internal and financial controls; and (4) as a result of the foregoing, the Company's financial statements during the Class Period were materially false and misleading. After the market close on March 12, 2012, ModusLink filed its Form 10-Q for the second quarter of its 2012 fiscal year in which it revealed that in response to an SEC inquiry the Company was evaluating whether certain rebates should be shared with its clients, and whether the Company’s accounting for such rebates had been correct. On June 11, 2012, ModusLink issued a press release announcing that it would restate its financial results from its 2007 fiscal year through the first two quarters of its 2012 fiscal year after discovering that “ certain client contracts have not been aligned consistently with ModusLink’s practice of retaining volume discounts.” The Company also reported that it was delaying the filing of its Form 10-Q for the third quarter of fiscal 2012 ended April 30, 2012. According to the press release, the restatement was expected to lower ModusLink’s previously reported revenues for the affected periods by $20 to $30 million. At the same time, the Company announced the “retirement” of its President and CEO, Joseph Lawler, and its President of Global Operations, William McLennan, effective immediately. ModusLink also reported: “Management is continuing to assess the Company’s internal control over financial reporting and its disclosure controls and procedures, and expects to conclude that the Company has a material weakness in its internal control over financial reporting. Management will report its conclusion on internal control over financial reporting and disclosure controls and procedures upon completion of the restatement process…In conjunction with the Company’s inability to timely file its Form 10-Q, ModusLink expects to receive a letter from NASDAQ notifying the Company that it is non-compliant with NASDAQ Listing Rules, which require listed companies to timely file all required periodic financial reports with the SEC.” The price of ModusLink shares fell from $4.26 to $2.78 on June 11.