Shareholders Foundation, Inc.

Fusion-IO, Inc. (NYSE:FIO) Investor Lawsuit Alleges False and Misleading Statements

A lawsuit was filed on behalf of investors in Fusion-IO, Inc. (NYSE:FIO) shares over alleged securities laws violations. Deadline: January 21, 2014. NYSE:FIO investors should contact the Shareholders Foundation at mail@shareholdersfoundation.com

 
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San Diego, CA -- (SBWIRE) -- 12/16/2013 -- An investor, who purchased shares of Fusion-IO, Inc. (NYSE:FIO), filed a lawsuit in the U.S. District Court for the Northern District of California over alleged violations of Federal Securities Laws by Fusion-IO, Inc in connection with certain allegedly false and misleading statements made between August 10, 2012 and October 23, 2013.

Investors who purchased a significant amount of shares of Fusion-IO, Inc. (NYSE:FIO) between August 10, 2012 and October 23, 2013, and / or those who purchased NYSE:FIO shares in 2012 or earlier and currently hold any of those shares have certain options and for certain investors are short and strict deadlines running. Deadline: January 21, 2014. Fusion-IO, Inc. (NYSE:FIO investors should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.

According to the complaint the plaintiff alleges on behalf of all persons or entities who purchased or otherwise acquired Fusion-IO, Inc. (NYSE:FIO) between August 10, 2012 and October 23, 2013, that Fusion-IO, Inc. and certain of its senior executives violated the Securities Exchange Act of 1934.

More specifically, the plaintiff alleges that the defendants misrepresented to investors that Fusion-IO, Inc. was a market leader in large-scale flash memory applications and was not facing any competitive pressure or risk from the commoditization of flash memory products, that defendants also issued positive revenue guidance and misrepresented that Fusion-IO, Inc. was able to anticipate the demand from its strategic customers based on its years of experience as their flash memory supplier, and that as a result of defendants' statements and omissions, Fusion-IO's securities traded at artificially inflated prices between August 10, 2012 and October 23, 2013.

On May 8, 2013, Fusion-IO, Inc. announced management changes. Fusion-IO, Inc. said its CEO and President resigned and was replaced effective immediately. Shares of Fusion-IO, Inc. (NYSE:FIO) declined from $18.08 per share on May 7, 2013, to $13.21 per share on May 8, 2013.

On August 7, 2013, Fusion-IO, Inc. reported its fourth quarter and fiscal year 2013 results. Fusion-IO’s Total Revenue increased from $197.20 million for the 12 months period that ended on June 30, 2011 to $432.39 million for the 12 months period that ended on June 30, 2013, while its Net Income of $4.55 million for the 12 months period that ended on June 30, 2011 declined to a Net Loss of $38.23 million for the 12 months period that ended on June 30, 2013. Shares of Fusion-IO, Inc. (NYSE:FIO) declined from $15.46 per share on August 7, 2013, to $10.395 per share on August 21, 2013.

On October 23, 2013, Fusion-IO, Inc. reported its fiscal first quarter 2014 results. Among other things, Fusion-IO, Inc. announced that its chief financial officer and executive vice president is leaving the Company and that its chief sales officer and executive vice president is retiring from the company.

Shares of Fusion-IO, Inc. declined from $14.15 per share on October 21, 2013, to $9.46 per share on October 25, 2013 and continued to decline to $8.40 per share on December 13, 2013.

Those who purchased shares of Fusion-IO, Inc. (NYSE:FIO) have certain options and should contact the Shareholders Foundation.

Contact:
Shareholders Foundation, Inc.
Trevor Allen
3111 Camino Del Rio North - Suite 423
92108 San Diego
Phone: +1-(858)-779-1554
Fax: +1-(858)-605-5739
mail@shareholdersfoundation.com