Cohen, Milstein, Hausfeld & Toll, P.L.L.C. Files Securities Fraud Class Action Against Harmonic, Inc.

SEATTLE, Aug. 9 /PRNewswire/ --

The law firm of Cohen, Milstein, Hausfeld & Toll, P.L.L.C., has filed a class action lawsuit in the United States District Court for the Northern District of California on behalf of its client and all persons who purchased the common stock of Harmonic Inc. ("Harmonic") (Nasdaq: HLIT) during the period between March 27, 2000 and June 26, 2000 (the "Class Period").

The complaint charges Harmonic and certain of its officers and directors with violations of the Securities Exchange Act of 1934. Harmonic designs, manufactures and markets digital and fiber optic systems for delivering video, voice and data services over cable, satellite, telephone and wireless networks. The company's solutions enable cable television and other network operators to provide a range of broadcast and interactive broadband services that include high-speed Internet access, telephony and video on demand. The complaint alleges that defendants' false and misleading statements concerning the revenues to be derived from Harmonic's largest customer, AT&T, and from its newly acquired C-Cube division (DiviCom), which would result in 2000 EPS of $1.19+, artificially inflated the price of Harmonic stock to a Class Period high of $102. This upsurge in Harmonic's stock caused by defendants' false and misleading statements enabled Harmonic to complete the $1.7 billion acquisition of the C-Cube's DiviCom business. After the acquisition was completed, on 6/26/00, Harmonic revealed that it was in fact suffering a huge drop in revenues and exposed the problems Harmonic had been experiencing during the Class Period in attempting to grow its business. This announcement caused its stock price to drop to as low as $22-11/16 on record volume of 21.9 million shares on 6/27/00 causing hundreds of millions of dollars in damages to members of the Class.

Persons who are members of the Class described above have sixty days from June 28, 2000 to move the court if they desire to serve as lead plaintiffs in the case. In order to serve as a lead plaintiff, you must meet certain legal requirements.

Counsel for the plaintiff is the law firm of Cohen, Milstein, Hausfeld & Toll, P.L.L.C. (www.cmht.com). Cohen, Milstein has significant experience in prosecuting investor class actions and actions involving financial fraud, and has offices in Seattle, Washington, and Washington D.C. The firm's reputation for excellence has been recognized on repeated occasions by courts which have appointed the firm to lead positions in complex multi-district or consolidated litigation, including numerous important cases on behalf of defrauded investors.

If you have questions concerning serving as a lead plaintiff, the case or your rights, you should contact any of the following: Steven J. Toll (stoll@cmht.com), or Clarence D. Williams (cwilliams@cmht.com) of Cohen, Milstein, Hausfeld & Toll, P.L.L.C., 999 Third Avenue, Suite 3600, Seattle, Washington 98104. Telephone, 888-240-1238 or 206-521-0080.