Investor Sues Finisar Over Low Revenue Projection

Law360, New York (March 17, 2011, 5:54 PM EDT) -- An investor in Finisar Corp. launched a class action against the network equipment maker Tuesday in California, saying that company brass misled investors about its revenue prospects.

Finisar stock prices plummeted nearly 39 percent the day after the company released its third-quarter financial results with fourth-quarter revenue projections that fell below analyst expectations, plaintiff Martin Derchi-Russo said in a complaint filed in the U.S. District Court for the Northern District of California.

The plaintiff claims that several Finisar executives, who are also named as defendants, knew...
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