NEW YORK, July 25, 2002 (PRIMEZONE) -- The law firm of Abbey Gardy, LLP has filed a class action against AOL Time Warner, Inc. ("AOL Time Warner" or the "Company") (NYSE:AOL) and certain of its officers and directors in the United States District Court for the Southern District of New York, on behalf of all persons or entities who purchased AOL Time Warner securities during the period from October 18, 2000 and January 10, 2001 and all persons who converted, exchanged or otherwise acquired shares or AOL Time Warner between January 11, 2001 and July 17, 2002, inclusive (the "Class Period").
The Complaint alleges that defendants violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, and Rule 10b-5 promulgated thereunder, by issuing a series of material misrepresentations to the market during the Class Period, thereby artificially inflating the price of AOL Time Warner securities. The complaint also alleges, that during the Class Period, the defendants issued numerous false and misleading statements concerning, the Company's prospects and earnings projections. The complaint alleges that defendants engaged in a course of conduct designed to artificially inflate the Company's revenues for, among other things, if on-line advertising. The complaint alleges that defendants overstated revenues throughout the Class Period and misrepresented to the investing public that the Company was actually losing it long-term revenue stream. As a result, the Company's reported financial results and published financial statements were materially false and misleading and in violation of Generally Accepted Accounting Principles. The complaint further alleges that as a result of defendants' materially false and misleading statements the price of the company's common stock was inflated throughout the Class Period.
Plaintiff seeks to recover damages on behalf of all those who purchased or otherwise acquired AOL Time Warner securities during the Class Period. If you purchased or otherwise acquired AOL Time Warner securities during the Class Period, and either lost money on the transaction or still hold the securities, you may wish to join in the action to serve as lead plaintiff. If you purchased AOL Time Warner securities during the Class Period, you may, no later than September 16, 2002, request that the Court appoint you as lead plaintiff.
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 the class member's claim is typical of the claims of other class members, and that the class member 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, however, affected by the decision whether or not to serve as a lead plaintiff.
Abbey Gardy, LLP has been retained as one of the law firms to represent the Class. The attorneys at Abbey Gardy, LLP have extensive experience in securities class action cases, and have played lead roles in major cases resulting in the recovery of hundreds of millions of dollars to investors. If you would like to discuss this action or if you have any questions concerning this Notice or your rights as a potential class member or lead plaintiff, you may contact Nancy Kaboolian, Esq. or Jennifer Haas of Abbey Gardy, LLP at (800) 889-3701 or email jhaas@abbeygardy.com.
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca