Several class actions have been filed against wireless telecommunications manufacturer Superconductor Technologies, Inc. (Nasdaq:SCON) and certain of its officers and directors by stockholders who purchased the company's common stock between January 9, 2004, and March 1, 2004. The actions claim that the defendants violated federal securities laws by issuing a series of material misrepresentations to the market over this time period, thereby artificially inflating the price of the company's securities. The stockholders seek to recover compensatory damages for the loss of value of their stock.

The action alleges that the company failed to disclose and misrepresented the following material adverse facts which were known to defendants or recklessly disregarded by them: (1) that Superconductor Technologies could not meet its projected first quarter revenues of $10 million and $13 million due to changes in demand made by two of the company's major customers; (2) that the defendants knew of the decreased demand for its product well in advance; and (3) that, as a result of the foregoing, the defendants lacked a reasonable basis for their positive statements about the company and their earnings projections. On March 1, 2004, Superconductor announced that it expected first quarter 2004 total net revenues to be $4 million to $5 million. News of this shocked the market, SCON shares falling $1.86 per share, or 45.4%, to close at $2.23 per share.

If you purchased securities issued by Superconductor during the applicable period, you may request appointment by the court as a lead plaintiff if you do so by June 15, 2004. A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the court must determine that your claim is typical of the claims of other class members, and that you will adequately represent the class. Under certain circumstances, one or more class members may together serve as lead plaintiffs. Your ability to share in any recovery is not affected by the decision whether or not to serve as a lead plaintiff. You may retain any counsel of your choice to serve as you in this action, or you may choose to do nothing, and remain in the class as a silent member.