NEW YORK, August 11, 2003 (PRIMEZONE) -- The law firm of Kirby McInerney & Squire, LLP announces that a class action lawsuit has been commenced in the United States District Court for the Middle District of North Carolina on behalf of all purchasers of Laboratory Corporation of America Holdings ("LabCorp" or the "Company") (NYSE:LH) securities during the period from February 13, 2002 through October 3, 2002, inclusive (the "Class Period").
Please visit our website, which offers summary and detailed information concerning the suit at http://www.kmslaw.com/new_cases/labcorp/labcorp.htm or contact us by phone at (888) 529-4787 or by email at emui@kmslaw.com for more information.
The action charges LabCorp and certain of its senior officers with violations of Sections 10(b) and Rule 10b-5 of the Securities Exchange Act of 1934. The alleged violations stem from the dissemination of false and misleading statements, which had the effect -- during the Class Period -- of artificially inflating the price of LabCorp's shares.
The truth about LabCorp was partially revealed when on October 3, 2002, defendants announced that LabCorp failed to meet revenue and earnings guidance for the third quarter ended September 30, 2002, as well as the remainder of 2002, due to a revenue shortfall, primarily, in the South and Southeast regions of the U.S. stemming from a material loss of routine/core testing volumes among independent physicians. Subsequently, on October 4, 2002, defendant Thomas MacMahon, LabCorp's Chairman and Chief Executive Officer, admitted that defendants were aware that the Company was losing sales to local and regional labs and had attempted, unsuccessfully, to "remedy the problem" as early as May 2002. Following these announcements, the price of LabCorp common stock collapsed, losing over 34% of their value in one day of trading to close at $21.68 per share on October 4, 2002, and falling over 58% from the Class Period high of $51.98 per share reached on or about May 10, 2002.
If you are a member of the class described above, you may, no later than August 25, 2003, move the Court to serve as lead plaintiff of the class, if you so choose, pursuant to the Private Securities Litigation Reform Act of 1995 (the ``PSLRA''), 15 U.S.C. section 78u-4(a). A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. Under certain circumstances, one or more class members may together serve as lead plaintiff. Your ability to share in any recovery is not, however, affected by the decision whether or not to seek appointment as a lead plaintiff. For more information about the case, its claims, and your rights, you can contact:
Pamela Kulsrud, Esq. Elaine Mui KIRBY McINERNEY & SQUIRE, LLP 830 Third Avenue, 10th Floor New York, New York 10022 Telephone: (212) 317-2300 or Toll Free (888) 529-4787 E-Mail: emui@kmslaw.com