NEW YORK, March 14, 2003 (PRIMEZONE) -- Notice is hereby given that a class action lawsuit was commenced in the United States District Court for the Southern District of New York on behalf of all who purchased or otherwise acquired the common stock of Cosi, Inc. ("Cosi" or the "Company") (Nasdaq:COSI) pursuant to or traceable to a registration statement and prospectus filed in connection with the Company's Initial Public Offering ("IPO") which were declared effective on November 25, 2002 through and including February 3, 2002 (the "Class Period"). A copy of the complaint filed in this action can be viewed on the firm's website at www.faruqilaw.com.
The complaint charges defendants with violations of federal securities laws by, among other things, issuing a series of materially false and misleading press releases concerning Cosi's business prospects. Specifically, the complaint alleges that Cosi failed to disclose that the funds raised by the IPO would be insufficient to implement the Company's expansion plan of opening 53-59 new restaurants as set forth in its prospectus. Moreover, at the time of the IPO, defendants should have known that the costs of the Company's ambitious expansion plan would be greater than the proceeds raised in the IPO, making it unlikely that the Company could successfully implement its business plan. On February 3, 2003, however, Cosi shocked the market by announcing the resignation of its CEO and co-founder and that it was curtailing its very aggressive growth strategy. According to the Company, instead of opening 53-59 restaurants, Cosi now intends to open just six restaurants.
Plaintiff seeks to recover damages on behalf of himself and all other individual and institutional investors who purchased or otherwise acquired Cosi securities within the Class Period, excluding defendants and their affiliates. Plaintiff is represented by Faruqi & Faruqi, LLP, a law firm with extensive experience in prosecuting class actions, and significant expertise in actions involving corporate fraud.
If you wish to obtain information concerning joining this action you can do so under the "Join Lawsuit" section of our website at www.faruqilaw.com
If you purchased Cosi securities during the Class Period, you may, not later than April 7, 2003, move the court to serve as lead plaintiff of the class, if you so choose. In order to serve as lead plaintiff, however, you must meet certain legal requirements. If you wish to discuss this action, or have any questions concerning this notice or your rights or interests, please contact:
ANTHONY VOZZOLO, ESQ. FARUQI & FARUQI, LLP 320 East 39th Street New York, NY 10016 Telephone: (877) 247-4292 or (212) 983-9330 e-mail: Avozzolo@faruqilaw.com
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca.