BALA CYNWYD, Pa., July 9, 2002 (PRIMEZONE) -- Shareholders of Reliant Energy, Inc. (NYSE:REI) and Reliant Resources, Inc. (NYSE:RRI) (collectively, the "Reliant Companies") who desire to serve as a lead plaintiff in a shareholder class action lawsuit now pending in federal court in Texas -- Houston Division (H-02-2292) must submit an application with the Court by July 15, 2002 according to the law firm of Schiffrin & Barroway, LLP.
The lawsuit seeks damages for violations of the federal securities laws on behalf of all investors who purchased Reliant Energy, Inc. securities between May 14, 1999 through May 9, 2002 (the "Class Period").
Schiffrin & Barroway, LLP has prosecuted shareholder class actions for over fourteen years and has recovered more than $1 billion for investors. If you are a shareholder of Reliant Energy, Inc. and want to learn more about this lawsuit and about becoming a lead plaintiff, you may visit our website at http://www.sbclasslaw.com/cgi/signup.cgi.
The complaint alleges that the Texas-based Reliant Energy, 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 on May 10, 2002 and May 13, 2002, defendants disclosed that the revenue of the Reliant Companies had been artificially inflated due to power trading transactions involving simultaneous purchases and sales at the same price (referred to as "round-trip" trades). Defendants further disclosed that these "round trip" trades had the effect of materially and artificially increasing reported revenues over the three-year period of 1999, 2000 and 2001. Plaintiff seeks to recover damages on behalf of all Class members.
If you purchased Reliant Energy, Inc. securities between May 14, 1999 through May 9, 2002, you may be a member of the class and have until July 15, 2002 to move the court to become a lead plaintiff. In order to serve as lead plaintiff, however, you must meet certain legal requirements. To be a member of the class, however, you do not need to take any action at this time. Should you decide to seek appointment as a lead plaintiff, you may retain Schiffrin & Barroway, or retain counsel of your choice.
To learn more about your rights and interests in this case and your ability to potentially recoup your losses, please contact Schiffrin & Barroway (Marc A. Topaz, Esq. or Stuart L. Berman, Esq.) directly at 888-299-7706 (toll free) or 610-822-2221, fax number 610-822-0002, e-mail at info@sbclasslaw.com or visit our website at www.sbclasslaw.com.
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca