The decline in the stock price of Openwave Systems, Inc. (NASDAQ: OPWV) during 2006 illustrates the damage done by the backdated options scandal.
Before an announcement on May 22, 2006that the SEC was investigating the Company’s stock option grants and practices, its stock traded at over $15 per share. After the Company disclosed in early October 2006 that it would restate its financials for the last five years and then disclosed in late October 2006 that its was also reviewing the tax implications triggered by the mandatory accounting adjustments, its stock traded at under $9 per share. If the Company had adequate internal and financial controls in place this would not have happened. Instead, it appears that the Company intentionally concealed the true grant dates of the stock options.
Investors who purchased between September 30, 2002 and October 26, 2006 are affected. We are currently investigating this matter and if you are an affected investor, you may wish to contact us to discuss your options.
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