Zomax Securities Litigation

On March 9, 2004, Zimmerman Reed filed a securities class action lawsuit on behalf of Zomax, Inc. (Nasdaq: ZOMX) shareholders who purchased shares in the open market during the period from June 6, 2000 through September 21, 2000 (“Class Period”). The action was filed in the United States District Court for the District of Minnesota, alleging Zomax and certain of its officers issued materially false statements and omitted materials facts concerning the company's business, prospects and operations . As a result, these alleged actions artificially inflated the price of Zomax securities, thereby damaging investors who purchased or otherwise acquired securities during the Class Period.

The Parties reached a tentative Settlement in 2005. On September 6, 2005, Federal District Court Judge Donovan W. Frank approved a Settlement, including $2.2 million in cash and 1.5 million in shares.