SAN DIEGO and IRVING,
Texas, July 1, 2013
/PRNewswire/ -- Shareholder rights attorneys at Robbins Arroyo
LLP remind investors of the July 1,
2013 deadline to file for lead plaintiff in the class action
lawsuit filed on behalf of purchasers of Digital Generation, Inc.
(NASDAQ: DGIT) between June 20, 2011
and February 19, 2013 (the "Class
Period"), in the U.S. District Court for the Northern District of
Texas. The class action seeks to recover damages against
Digital Generation and certain of its officers and directors for
alleged violations of the Securities Exchange Act of 1943.
(Logo:
http://photos.prnewswire.com/prnh/20130103/MM36754LOGO)
The complaint alleges that during the Class Period, Digital
Generation failed to disclose that: (i) the company's online
segment performance was significantly below the value reported to
investors; (ii) prior acquisitions had disguised the company's
declining revenue base; (iii) in order to appear to be an
attractive acquisition target, the company had vastly overpaid for
its acquisition of online segments, including Media Mind, Inc.
("Media Mind"); (iv) the company was not adequately poised for a
strategic partnership or buyout; and (v) as a result, the company's
financial statements were materially false and misleading during
the Class Period.
On November 8, 2012, Digital
Generation announced that for the quarter ending September 30, 2012, the company would take
impairment charges of: (i) over $208
million against recently acquired online media assets,
including Media Mind, representing a 33% write down of the purchase
price and; (ii) $131 million for its
television unit.
Shortly thereafter, on February 19,
2013, Digital Generation announced: (i) an additional write
down of online segments of $11.4
million; and (ii) that a Special Committee of the board of
directors had failed to attract a buyout partner or strategic
alternative. On this news, Digital Generation's stock price
dropped more than 28%, or $2.53 per
share, to close at $6.45 per share on
February 19, 2013.
To discuss your shareholder rights, please contact attorney
Darnell R. Donahue at (800)
350-6003, ddonahue@robbinsarroyo.com, or via the shareholder
information form on the firm's website.
Robbins Arroyo LLP is a nationally recognized leader in
securities litigation and shareholder rights law. The firm
represents individual and institutional investors in shareholder
derivative and securities class action lawsuits, and has helped its
clients realize more than $1 billion
of value for themselves and the companies in which they have
invested. For more information, please go to
http://www.robbinsarroyo.com.
Press release link:
http://www.robbinsarroyo.com/shareholders-rights-blog/digital-generation-inc/
Attorney Advertising. Past results do not guarantee a
similar outcome.
Contact:
Darnell R. Donahue
Robbins Arroyo LLP
ddonahue@robbinsarroyo.com
(619) 525-3990 or Toll Free at (800) 350-6003
http://www.robbinsarroyo.com
SOURCE Robbins Arroyo LLP
