Check Point Software Technologies Ltd.

Redwood City, CA: Shareholders filed a class action lawsuit in the United States District Court for the Southern District of New York alleging securities fraud. The class was filed on behalf of all purchasers of the common stock of Check Point Software Technologies Ltd. from July 10, 2001 through April 4, 2002. The complaint claimed Check Point violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, and Rule 10b-5 promulgated there under. Throughout the class period Check Point allegedly issued numerous statements concerning its revenue growth, product and marketing initiatives, and increasing revenues and profits while failing to disclose that demand for the company's products was materially declining. Check Point denies any wrongdoing, but has agreed to pay a $13 million class action to be paid by its insurer. (Dec-21-06) [BUSINESS WEEK: CHECK POINT SETTLEMENT]