KVHI KVH Industries Inc

Schatz & Nobel, P.C. Announces Class Action Lawsuit Against KVH Industries, Inc. HARTFORD, Conn., July 23 /PRNewswire/ -- The law firm of Schatz & Nobel, P.C., which has significant experience representing investors in prosecuting claims of securities fraud, announces that a lawsuit seeking class action status has been filed in the United States District Court for the District of Rhode Island on behalf of all persons who purchased the publicly traded securities of KVH Industries, Inc. (NASDAQ:KVHI) ("KVH") between January 6, 2004 and July 2, 2004, inclusive (the "Class Period"). Also included are all those who purchased KVH's shares in the offering on or about February 13, 2004. The Complaint alleges that KVH and certain of its officers and directors issued materially false statements concerning KVH's financial condition and the demand for its newly developed TracVision A5 and G8 satellite TV systems "TracVision systems". Specifically, defendants failed to disclose: (i) that KVH had stuffed the retail channels with overpriced TracVision systems; (ii) revenues were not growing by millions of dollars per quarter and the purported growth trends in KVH's revenues could not be sustained; and (iii) KVH had not realized any material cost reduction in the manufacture of its TracVision systems and would be forced to write-down its inventory of manufactured goods by millions of dollars. It is alleged that defendants concealed these adverse facts in order to complete a public offering of KVH common stock, raising more than $51.5 million in much needed capital. On or about July 6, 2004 KVH announced that it was slashing the retail price of its TracVision systems by more than 34% and taking a multi-million dollar write down of vendor purchase commitments and on-hand inventories to reflect the true value of KVH's TracVision systems sales. In pre-opening market trading, KVH common stock declined more than 19%, to open at $9.51 per share on July 6, 2004, a 49% decline from the public offering price. If you are a member of the class, you may, no later than September 20, 2004 request that the Court appoint you as lead plaintiff of the class. A lead plaintiff is a class member that acts on behalf of other class members in directing the litigation. Although your ability to share in any recovery is not affected by the decision whether or not to seek appointment as a lead plaintiff, lead plaintiffs make important decisions which could affect the overall recovery for class members, including decisions concerning settlement. The securities laws require the Court to consider the class member(s) with the largest financial interest as presumptively the most adequate lead plaintiff(s). For more information about the case, its claims, and your rights, please contact Schatz & Nobel toll-free at (800) 797-5499, or by e-mail at . To view a copy of the lawsuit initiating the class action, or for more information about class action cases and Schatz & Nobel, please visit our website: http://www.snlaw.net/. DATASOURCE: Schatz & Nobel, P.C. CONTACT: Nancy A. Kulesa, Schatz & Nobel, P.C., +1-800-797-5499, Web site: http://www.snlaw.net/

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