NEW YORK, May 28, 2002 (PRIMEZONE) -- According to Pomerantz Haudek Block Grossman & Gross LLP (www.pomerantzlaw.com), which has filed a class action lawsuit against Merrill Lynch & Co., Inc. ("Merrill Lynch") (NYSE:MER), its former Internet research analyst Henry M. Blodget, and its research analyst Virginia Syer Genereux, charging them with issuing false and misleading research reports about Aether Systems, Inc. ("Aether" or the "Company") (Nasdaq:AETH), shareholders who purchased the common stock of Aether during the period from November 15, 1999 through February 20, 2002, inclusive (the "Class Period") have until Tuesday July 2, 2002 to seek appointment by the Court as one of the lead plaintiffs in this action.
According to the Complaint, during the Class Period, defendants' research reports and ratings on Aether were neither independent nor objective, but instead were biased and improperly influenced by Merrill Lynch's lucrative investment banking relationships with this important client. It is also alleged that at the time defendants were issuing positive ratings and coverage about Aether, they were concealing their contemporaneous, private negative assessments of the Company. Indeed, Merrill Lynch's research reports on Aether were so tainted that Blodget internally acknowledged, in a December 1, 2000 e-mail, the need to "just start calling the stocks ... including AETH (Aether) like we see them, no matter what the ancillary business consequences are." Plaintiff asserts that despite this telling concession, neither Blodget nor the other defendants started calling Aether stock as they saw it.
The Complaint further alleges that defendants failed to disclose that although Merrill Lynch technically had five ratings, it had a policy and practice of assigning only its top three ratings (buy, accumulate, and neutral) to Internet companies. During the relevant time herein, defendants not once issued Merrill Lynch's two lowest ratings -- reduce or sell -- on such companies, including Aether.
As a result of defendants' false and misleading statements, the market price of Aether common stock was artificially inflated, maintained or stabilized during the Class Period.
If you purchased the common stock of Aether during the Class Period, you have until Tuesday July 2, 2002 to ask the Court to appoint you as lead plaintiff for the Class. To serve as lead plaintiff, you must meet certain legal requirements. If you wish to review a copy of the Complaint, to discuss this action or have any questions, please contact Andrew G. Tolan, Esq. of the Pomerantz firm at 888-476-6529 (or (888) 4-POMLAW), toll free, or at agtolan@pomlaw.com by e-mail. Those who inquire by e-mail are encouraged to include their mailing address and telephone number.
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca