LITTLE ROCK, Ark., May 22, 2002 (PRIMEZONE) -- The Emerson Firm, a securities trial law firm with offices in Houston, Texas and Little Rock, Arkansas, announced today that a class action has been filed in the United States District Court for the Northern District of Illinois, Eastern Division, on behalf of purchasers of Exelon Corporation (NYSE:EXC) ("Exelon" or the "Company") common stock during the period between April 24, 2001 and September 27, 2001, inclusive (the "Class Period"). A copy of the complaint filed in this action is available from the Court, or can be obtained from the firm's Investor Relations Department by calling the toll free number below.
The complaint charges Exelon and certain of its officers and directors with issuing false and misleading statements concerning its business and financial condition. Specifically, the complaint alleges that Exelon repeatedly issued statements concerning the strength of its operations and repeatedly assured the market that it would meet or beat its $4.50 per share projected earnings figure for 2001. The complaint alleges that these statements were materially false and misleading because they failed to disclose, among other things: (a) that the investments in telecommunications companies held by Exelon's Enterprises segment were dropping in value at a rapid pace and, therefore, the Enterprises segment could not and would not meaningfully contribute to the Company's financial results, and that in fact, the Company was carrying tens of millions of dollars of impaired investments on its financial statements; and (b) that InfraSource, Exelon's infrastructure subsidiary, was experiencing declining demand for its products as its primary customers, telecommunications companies, were facing severe industry-wide problems, such as mounting debt and over-capacity, and were significantly cutting back on their capital expenditures. On September 27, 2001, Exelon issued a press release announcing that it would not meet its earnings commitment of $4.50 for 2001, blaming the economy, poor weather and write- downs for failed investments made by the Enterprises unit. In reaction to the announcement, Exelon's common stock price plunged by 22%, falling to a low of $38.85 per share on September 27, 2001, after closing at $50.45 the previous day, on extremely heavy trading volume.
If you bought Exelon common stock between April 24, 2001 and September 27, 2001, and you wish to serve as lead plaintiff, you must move the Court no later than July 8, 2002. If you are a member of this class, you can join this class action by contacting Ms. Tanya Autry, Investor Relations Department, The Emerson Firm. Any member of the purported class may move the Court to serve as lead plaintiff through The Emerson Firm or other counsel of their choice.
The Emerson Firm has substantial experience representing investors in securities fraud class action lawsuits such as this. The firm has offices in Texas and Arkansas, but represents investors throughout the nation. If you have any questions about how you may be able to recover for your losses, or if you would like to consider serving as one of the lead plaintiffs in this lawsuit, you are encouraged to call toll free or e-mail the Firm.
THE EMERSON FIRM
Investor Relations Department:
Ms. Tanya Autry
P.O. Box 25336
Little Rock, AR 72221-5336
Toll Free: 1-800-663-9817
E-mail: tanya.autry@worldnet.att.net
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca