NEW YORK, Aug. 8, 2002 (PRIMEZONE) -- The law firm of Wechsler Harwood Halebian & Feffer LLP ("Wechsler Harwood") announces that a class action has been commenced in the United States District Court for the District of Minnesota on behalf all persons who purchased or acquired Supervalu, Inc. (NYSE:SVU) ("Supervalu" or the "Company") securities between April 4, 2001 through June 26, 2002, inclusive (the "Class Period") against defendants Supervalu and certain of its officers and directors.
The complaint charges Supervalu, Inc. and certain of its officers and directors with issuing false and misleading statements concerning its business and financial condition. Specifically, the complaint alleges that defendants issued statements regarding Supervalu's annual financial performance and filed reports confirming such performance with the United States Securities and Exchange Commission ("SEC"). The complaint alleges that these statements were materially false and misleading because, among other things: (i) the Company was employing improper accounting practices regarding the cost of goods sold for at least the past four years in violation of Generally Accepted Accounting Principles. As a result, the Company announced on June 26, 2002 that it expects $21 million in additional expenses; and (ii) based on the foregoing, defendants' statements concerning the financial condition of Supervalu were lacking in a reasonable basis at all times.
The impact of these announcements was immediately felt in the market. Shares of Supervalu fell sharply following the Company's statements on June 26, 2002. Supervalu stock closed on June 26, 2002, at $21.95 down approximately $6.11, or 22%. Subsequently, on July 1, 2002, a mere five days after the Company disclosed the existence of its internal investigation, Supervalu did, in fact, materially restate its financial statements for all of Fiscal Years 2000, 2001 and 2002.
If you are a member of the Class described above, and if you meet certain other legal requirements, you may, no later than September 10, 2002, move the Court to serve as a 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 plaintiff." The requirements for serving as a lead plaintiff are set forth in the Private Securities Litigation Reform Act of 1995 (15 U.S.C. Section 78u-4).
Wechsler Harwood has taken a leading role in many important actions on behalf of defrauded shareholders. The Wechsler Harwood website (www.whhf.com) has more information about the firm. If you wish to discuss this action with us, or have any questions concerning this notice or your rights and interests with regard to the case, please contact the following:
Wechsler Harwood Halebian & Feffer LLP 488 Madison Avenue, 8th Floor New York, New York 10022 Toll Free Telephone: (877) 935-7400 Ramon Pinon, Wechsler Harwood Shareholder Relations Department: rpinoniv@whhf.com
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca