An investigation on behalf of current investors in Catapult Communications Corporation (NASDAQ: CATT), who purchased their shares before May 11, 2009, over potential breaches of fiduciary duty and other state laws by the board of directors of Catapult Communications Corporation was announced.

According to the investigation by a law firm the investigation focuses on potential CATT shareholder claims against the board of directors of Catapult Communications Corporation related to a proposal from Ixia to acquire all of the outstanding shares of Catapult Communications in an all-cash deal valued at approximately $105 million.

Catapult Communications Corporation (NASDAQ: CATT) announced that it has signed a definitive agreement with Ixia (NASDAQ: XXIA) under which Ixia will acquire Catapult for $9.25 per share in cash. Under the terms of a definitive agreement signed by the parties, the acquisition will be conducted by means of a tender offer for all of the outstanding shares of common stock of Catapult Communications, followed by a second-step merger. According to the investigation the transaction appears to be unfair given that, among other things, the Companys book value alone equals approximately $8.35 per share and the Company generates revenues of approximately $39.58 million per year. Thus, the price agreed to by Catapults Board appears to offer little, if any, price premium to Catapults shareholders. Catapult Communications Corporation designs, develops, manufactures, markets and supports advanced software-based test systems for the global telecommunications industry. Catapult Communications Corporation is located in Mountain View, California and had $39.34million in total revenue in 2007 and #37.91million in total revenue in 2008. The shares of Catapult Communications Corporation (NASDAQ: CATT) traded recently at $9.18 per share, down from $24.07 per share in 2005 and over $35 per share in 2000.