HARTFORD, Conn., May 14, 2007 (PRIME NEWSWIRE) -- The law firm of Schatz Nobel Izard, P.C., which has significant experience representing investors in prosecuting claims of securities fraud, announces that a lawsuit seeking class action status has been filed in the United States District Court for the Central District of California on behalf of all persons who purchased or otherwise acquired the publicly traded securities of Yahoo! ("Yahoo!" or the "Company") (Nasdaq:YHOO) between April 8, 2004 and July 18, 2006, inclusive, (the "Class Period").
The Complaint alleges that Yahoo! and certain of its officers and directors violated Federal Securities laws. Specifically, defendants' statements concerning Yahoo!'s financial results and sales and earnings growth potential were false and misleading as: (i) Yahoo! generated fraudulent revenue by misleading Internet advertising business customers to induce these customers to buy Yahoo! advertising products through deceptive means; (ii) Yahoo! made false representations regarding its advertising technology and products; (iii) Yahoo!'s misleading representations were material in that they related to the essential characteristics, quality, and/or nature of competing products and commercial activities, including relevance and potential click-throughs; (iv) Yahoo!'s advertising technology was operationally defective, causing its own advertising offerings to substantially under-perform those of its rivals; (v) whereas Yahoo!'s rivals were paying high-traffic vendors to route traffic through their Web sites, Yahoo! was charging large vendors for access and was dependent on that revenue to make its revenue targets; and (vi) Yahoo! was losing market share to Google and other Internet search providers.
On July 19, 2006, Yahoo! announced second quarter 2006 financial results that were lower than investors had been led to expect and analysts downgraded Yahoo!'s stock. On this news, the stock price fell 22%.
If you are a member of the class, you may, no later than July 10, 2007, request that the Court appoint you as lead plaintiff of the class. A lead plaintiff is a class member that acts on behalf of other class members in directing the litigation. Although your ability to share in any recovery is not affected by the decision whether or not to seek appointment as a lead plaintiff, lead plaintiffs make important decisions which could affect the overall recovery for class members, including decisions concerning settlement. The securities laws require the Court to consider the class member(s) with the largest financial interest as presumptively the most adequate lead plaintiff(s).
While Schatz Nobel Izard, P.C. has not filed a lawsuit against the defendants, to view a copy of the Complaint initiating the class action or for more information about the case, class action cases in general, and your rights, please contact Schatz Nobel Izard, P.C. toll-free at (800) 797-5499, or by e-mail at firm@snlaw.net, or visit our website: www.snilaw.com.