NEW YORK, Jan. 5, 2004 (PRIMEZONE) -- A lawsuit seeking class action status has been filed in the United States District Court for the Southern District of California on behalf of all persons who purchased the publicly traded securities of PriceSmart, Inc. (Nasdaq:PSMT) ("PriceSmart" or the "Company") from December 20, 2001 through November 7, 2003, inclusive (the "Class Period").
The complaint charges PriceSmart and certain of its officers and directors with violations of the Securities Exchange Act of 1934. The complaint alleges that during the Class Period, defendants disseminated or approved statements about the business and prospects of the Company that they knew or recklessly disregarded contained material misrepresentations or failed to disclose material facts necessary in order to make the statements made, in light of the circumstances under which they were made, not misleading. On November 10, 2003, prior to the market's open, PriceSmart announced that it would restate its financial reports for FY2002 and the first three quarters of FY2003 because the originally reported financials overstated revenues during that period by almost $30 million, and overstated net earnings by over $1 million.
Plaintiff seeks to recover damages on behalf of all those who purchased or otherwise acquired PriceSmart securities during the Class Period. If you purchased or otherwise acquired PriceSmart 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 PriceSmart securities during the Class Period, you may, no later than January 16, 2004 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.
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 Susan Lee of Abbey Gardy, LLP at (212) 889-3700 or 800-889-3701. Or e-mail her at slee@abbeygardy.com