Ixia

CLASS ACTION

ORDER GRANTING DEFENDANTS’ MOTIONS TO DISMISS

This is a putative securities class action against defendant Ixia and defendants Victor Alston, Atul Bhatnagar, Thomas B. Miller, and Errol Ginsburg (the “individual defendants”). Plaintiffs allege that during the class period, defendants misled the public by improperly classifying Ixia’s revenue. They assert that defendants sought to portray Ixia, which was exceeding its revenue and earnings per share targets during the class period, as a steady growth company. They contend that to foster this image, Ixia did not record certain present revenue and instead booked it as deferred revenue to give the impression that the company would continue to grow at an attractive rate in future quarters. Plaintiffs contend this misled inventors and caused them to conclude that Ixia’s growth would continue for some period of time.

They assert that by making these misleading statements, defendants violated section 10(b) of the Securities Exchange Act of 1934 (the “1934 Act”) and Securities and Exchange Commission (“SEC”) Rule 10b-5 during a class period that extended from November 28, 2007 to August 17, 2010. They also assert that…