Pomerantz Law Firm Reminds Shareholders of A-Power Energy Generation Systems, Ltd. of Upcoming Deadline - APWR

NEW YORK, Aug. 5, 2011 (GLOBE NEWSWIRE) -- Shareholders of A-Power Generation Systems, Ltd. ("A-Power" or the "Company") APWR are reminded of the securities class action lawsuit filed against A-Power Energy and certain of its officers. The class action (Civil Action No. 11-05649 (VBF)) in the United States District Court for the Central District of California is on behalf of a class consisting of all persons or entities who purchased A-Power securities from March 31, 2008 through and including June 27, 2011 (the "Class Period"). The Complaint alleges violations of Sections 10(b) and 20(a) of the Exchange Act, 15 U.S.C. Sections 78j(b) and 78t(a); and SEC Rule 10b-5 promulgated thereunder by the SEC, 17 C.F.R. Section 240.10b-5.

If you are a shareholder who purchased A-Power securities during the Class Period, you have until August 31, 2011 to ask the Court to appoint you as Lead Plaintiff for the class. A copy of the complaint can be obtained at www.pomerantzlaw.com. To discuss this action, contact Rachelle R. Boyle at rrboyle@pomlaw.com or 888.476.6529 (or 888.4-POMLAW), toll free, x350. Those who inquire by e-mail are encouraged to include their mailing address and telephone number.

A-Power, a renewable energy company in China, provides on-site distributed power generation systems and micro power grids for industrial corporations. The complaint alleges that during the Class Period, Defendants issued a series of materially false and misleading statements regarding the Company's business and financial results. Specifically, the Company's statements misrepresented and failed to disclose the following adverse facts, which were known to Defendants or recklessly disregarded by them, including that: (1) the Company improperly accounted for its related-party transactions such that its financial statements were presented in violation of Generally Accepted Accounting Principles ("GAAP"); (2) the Company's revenues and income were misstated in violation of GAAP; (3) the Company's revenue and income reported in its filings with the SEC were overstated as the Company reported materially lower revenue and net income in its filings with the State Administration for Industry and Commerce ("SAIC"); (4) the Company lacked adequate internal and financial controls; and (5) as a result of the foregoing, the Company's financial results were materially false and misleading at all relevant times.

On June 17, 2011, the Company disclosed that an independent director had resigned from the Company's Board due to his "concerns that his views on process and best practices were not necessarily shared throughout the Company." Also on June 17, 2011, Seeking Alpha raised a number of red flags of fraud at the Company, including allegations that the 2009 financial statements filed by A-Power with the SAIC showed less than one-tenth of the revenue and cash balances of its financial statements filed with the SEC.

On this news, A-Power stock fell $0.51 per share, or more than 22%, in two consecutive trading sessions, to close at $1.74 per share on June 20, 2011.

On June 27, 2011, A-Power disclosed the resignation of the Company's auditor, MSCM LLP because "the Company had not retained a qualified independent forensic accounting firm to evaluate certain business transactions that MSCM stated was necessary for MSCM to complete its audit of the Company's financial statements for the year ended December 31, 2010 on a timely basis." Also, the Company acknowledged that it would delay filing its Form 20-F for the fiscal year 2010, due in part to MSCM's resignation. On this news, after the market closed, NASDAQ halted trading of A-Power stock at $1.67 per share.

The Pomerantz Firm, with offices in New York, Chicago and Washington, D.C., is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, the Pomerantz Firm pioneered the field of securities class actions. Today, more than 70 years later, the Pomerantz Firm continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomerantzlaw.com.