MINNEAPOLIS, Jan. 6, 2009 (GLOBE NEWSWIRE) -- Charles H. Johnson & Associates announces that a class action has been commenced in the United States District Court for the Southern District of New York on behalf of purchasers of CBS Corporation ("CBS" or the "Company") (NYSE:CBS) publicly traded securities during the period February 26, 2008 through October 10, 2008 (the "Class Period").
If you are a member of the proposed Class, you may move the Court to serve as a lead plaintiff for the Class on or before February 10, 2009. You do not need to be a lead plaintiff in order to share in any recovery that may be obtained.
The Complaint alleges that Defendants made materially false and misleading statements about the Company's financial condition and operating results. Specifically, Defendants failed to disclose: 1) that adverse market conditions had materially impaired CBS's operations, expected cash flows and the value of its intangible assets, including goodwill; 2) that the Company's reported goodwill and intangible assets, which ranged between 69% - 73% of CBS's total assets and 131% - 137% of CBS's total equity during the Class Period, were materially overstated; 3) that the Company reported equity capital during the Class Period that was materially overstated; 4) that, as a result of its failure to timely write-down impaired intangible and goodwill assets, the Company's financial results during the Class Period were materially overstated; 5) that the Company's financial statements were not prepared in accordance with Generally Accepted Accounting Principles ("GAAP") and, therefore, were materially false and misleading; 6) that the Company's balance sheet was not "pristine," "extremely strong" or "extremely healthy;" 7) that the Company's cash flow from operations was declining at a significant rate; and 8) that Defendants' positive statements concerning the Company's free cash flow, including Defendant Moonves's representation that CBS "clearly has the right broad range of assets to produce outstanding free cash flow quarter after quarter, year after year," were materially false and misleading and without reasonable basis.
According to the Complaint, on October 10, 2008, CBS issued a press release announcing that it "expects to incur a non-cash impairment charge of approximately $14 billion, in the third quarter of 2008." In response to this announcement, the price of CBS common stock declined from $10.14 to $8.10, on very heavy trading volume.
If you purchased CBS Corporation securities during the Class Period, or have any questions concerning this notice or your rights with respect to this matter, please contact:
Neal Eisenbraun, Esq. (cjohnsonlaw@gmail.com)
Charles H. Johnson & Associates
2599 Mississippi Street
New Brighton, MN 55112
(651) 633-5685