Securities Fraud Class Action Against Pixar Filed by Scott+Scott, LLC

Securities Fraud Class Action Against Pixar Filed by Scott+Scott, LLC

COLCHESTER, Conn., Dec. 8 /PRNewswire/ -- Scott+Scott, LLC (http://www.scott-scott.com/), at the direction of clients, filed a securities fraud class action in the United States District Court for the Northern District of California (No. 05-5052) against Pixar (NASDAQ:PIXR) and individual defendants. Presently, the class is defined in the complaint as those who purchased Pixar securities between January 18, 2005, and June 30, 2005, inclusive (the "Class Period"). However, any purchaser of Pixar securities can contact the firm as the class period may change as information is revealed. Pixar engages in the creation, development, and production of animated films and related products worldwide (PixarSecuritiesLitigation@scott-scott.com).

If you purchased Pixar securities during the Class Period and wish to serve as a lead plaintiff in the action, you must move the court no later than December 20, 2005. If you wish to discuss this action or have questions concerning this notice or your rights, please contact Scott+Scott for more information. Scott+Scott will provide class members with case materials, answer all questions regarding participation and rights and assist with other services the firm provides. There is no cost or fee to you. Contact Scott+Scott partner Neil Rothstein (nrothstein@scott-scott.com, 800/332-2259, ext. 22 or cell 619/251-0887). Institutional Investors may also contact the firm at InstitutionalInvestors@scott-scott.com.

The complaint alleges that during the Class Period, defendants made false and misleading statements and omissions of material fact in connection with sales of the Company's video releases of its feature-length animated motion pictures for the domestic and international retail markets. According to the complaint, defendants' false and misleading statements served to conceal material facts and mislead investors, regarding the changed and disappointing trends and changing industry practices already known to the trade, impacting the profitability of new video releases. In spite of defendant's materially false and misleading statements to the contrary, the Company would be unable to achieve its lofty goals and revenue projections for the sale of its video products, including revenue expectations for its video release of "THE INCREDIBLES."

Finally, as the complaint alleges, the truth became known to investors when defendants made their shocking disclosure, to revise its 2Q 05 guidance, addressing the need to "increase its reserves for returns." Although defendants sought to convince investors that "THE INCREDIBLES" release was on its way to be a best-seller for 2005, investors learned that they had set their sights on a mirage, as the Company erased $6 million in net income, with expectations for more pain by quarter's end. As a result, the price of PIXAR stock plummeted $6.99, from its closing price of $50.05 on June 30, 2005, to finally close on July 1, 2005 at $43.06, for a loss of 13.9%, on heavy volume of over 9.6 million shares.

The plaintiff is represented by Scott+Scott, LLC, which has significant experience in prosecuting investor class actions. The firm dedicates itself to client communication and satisfaction and currently is litigating major securities, antitrust and employee retirement plan actions throughout the United States. The firm represents pension funds, charities, foundations, individuals and other entities worldwide. Cases currently being litigated and/or investigated by Scott+Scott, LLC include: Refco, Inc.; Guidant Corp.; Abbott Laboratories; Halliburton; TRM Corp.; and Tempur-Pedic Int'l, among others. Its success has brought shareholders hundreds of millions of dollars in cases against Mattel, Royal Dutch/Shell, Sprint, ImClone and others.

Website: http://www.scott-scott.com

Source: Scott+Scott, LLC

CONTACT: Neil Rothstein of Scott+Scott, LLC, +1-800-332-2259, ext. 22,
mobile: +1-619-251-0887, or nrothstein@scott-scott.com

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