NEW YORK, June 12, 2003 (PRIMEZONE) -- Pomerantz Haudek Block Grossman & Gross LLP (www.pomerantzlaw.com) and Vianale & Vianale have filed a class action lawsuit in the United States District Court for the Southern District of New York, case number 03 CV 4258, against Goldman Sachs & Co. (NYSE:GS) ("Goldman Sachs") on behalf of investors who purchased the common stock of Exodus Communications, Inc. ("Exodus" or the "Company") pursuant or traceable to a Registration Statement/Prospectus filed with the Securities and Exchange Commission ("SEC") on June 28, 2000, as amended on July 18, 2000, declared effective on July 20, 2000 and supplemented on February 5, 2001 (collectively, the "Registration Statement").
The lawsuit charges that Goldman Sachs, a joint book-running manager of the Offering, violated Sections 11 and 12(a)(2) of the Securities Act of 1933. On February 6, 2001, the Company completed a public offering of 13,000,000 shares of its common stock at $18.50 per share for proceeds of $240,500,000 (the "Offering"). However, it is alleged that the Registration Statement was false and misleading because it overstated net income for at least the nine months ended September 30, 2000 and failed to disclose that the Company was improperly capitalizing expenses.
On September 26, 2001, Exodus filed for bankruptcy protection under Chapter 11 of the U.S. Bankruptcy Code. All of the outstanding shares of common stock of Exodus were cancelled and ceased to be outstanding as of June 19, 2002, the effective date of the plan of reorganization.
If you purchased the common stock of Exodus pursuant or traceable to the Registration Statement, you have until July 18, 2003 to ask the Court to appoint you as lead plaintiff for the Class. To serve as lead plaintiff, you must meet certain legal requirements. If you wish to review a copy of the Complaint, to discuss this action or have any questions, please contact Andrew G. Tolan, Esq. of the Pomerantz firm at 888-476-6529 (or (888) 4-POMLAW), toll free, or at agtolan@pomlaw.com by e-mail. Those who inquire by e-mail are encouraged to include their mailing address and telephone number.
The Pomerantz firm, which has offices in New York, Chicago and Washington D.C., is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class action litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, the Pomerantz firm pioneered the field of securities class actions. Today, more than 50 years later, the Pomerantz firm continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members.
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca