Case Summary 16.2: Nursing Home Pension Fund v. Oracle Corp., 380 F.3d 1226 (9th Cir. 2004) (p. 564) Facts: Software giant Oracle released their newest product, the 11i Suite, in 2000. The company issued press releases and disseminated other information to the public that touted the software as a significant achievement that would enhance its revenue. Over the next 12 months, executive management continued making overly optimistic forecasts about the software and earnings. During that same time period, Oracle's CEO Larry Ellison sold nearly $1 billion worth of his personal stock in Oracle. Shortly after Ellison's sale was completed, Oracle released negative news about earnings and it became obvious that the 11i Suite sales were substantially below expectations and the stock price dropped sharply. 1. Does the timing of the insider sale and the release of the negative earnings statement constitute sufficient scienter to clear the PSLRA's scienter hurdle? 2. Who prevails and why