Orion Energy Faces Class Actions Over Down Forecast

Law360, New York (February 21, 2008, 12:00 AM EST) -- Securities plaintiffs firms are beginning to circle Orion Energy Systems Inc. for allegedly inflating its market price by withholding information from investors.

Several firms announced class actions against energy efficiency company Orion in the U.S. District Court for the Southern District of New York after the Manitowoc, Wis.-based company disclosed on Feb. 6 that its revenues for the quarter ending March 31 would decline.

The company attributed the lowered expectations to a new business model that included promoting new technologies.

Orion shares plunged from $14.90 to...
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