LOS ANGELES, Oct. 8, 2004 (PRIMEZONE) -- Notice is hereby given by Glancy Binkow & Goldberg LLP that a Class Action lawsuit was filed in the United States District Court for the Southern District of New York on behalf of a class (the "Class") consisting of all persons or entities who purchased or otherwise acquired securities of InterActiveCorp ("IAC" or the "Company")(Nasdaq:IACI) between March 19, 2003 and August 4, 2004, inclusive (the "Class Period").
A copy of the Complaint is available from the court or from Glancy Binkow & Goldberg LLP. Please contact us by phone to discuss this action or obtain a copy of the Complaint at (310) 201-9150 or Toll Free at (888) 773-9224, by email at info@glancylaw.com, or visit our website at www.glancylaw.com.
The Complaint charges IAC and certain of the Company executive officers with violations of federal securities laws. Plaintiff claims that defendants' omissions and material misrepresentations concerning IAC's business operations and performance artificially inflated the Company's stock price, inflicting damages on investors. IAC (formerly "USA Networks") is a multi-brand interactive commerce Company whose segments include, among others, Expedia, Hotels.com, Ticketmaster and Lending Tree. The Complaint alleges that during the Class Period defendants failed to disclose material adverse facts about the Company's operations, prospects and financial performance, including: (1) that the Company knew or recklessly disregarded that its profits were being adversely impacted by the decreases in available discounted inventory, such as discount hotel rooms and airline tickets; (2) that IAC had to expend additional resources in order to market its products and brands in the maturing Internet industry and was facing increased Internet competition; (3) that the favorable performance of IAC's Expedia and the Hotels.com division were largely dependent on the improper booking of revenue; and (4) as a result of the foregoing, that defendants lacked a reasonable basis for their positive statements about the Company's growth and progress.
On August 3, 2004, after the market closed, the Company reported decreased revenue, operating income and earnings per share for second quarter 2004, and disclosed that the Company was facing increased Internet competition, which was impacting its performance. This news shocked the market, and shares of IAC dropped $4.23 per share, or 15.65 percent, on August 4, 2004, to close at $22.80 per share.
Plaintiff seeks to recover damages on behalf of Class members and is represented by Glancy Binkow & Goldberg LLP, a law firm with significant experience in prosecuting class actions, and substantial expertise in actions involving corporate fraud.
If you are a member of the Class described above, you may move the Court, not later than November 19, 2004, 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 with respect to these matters, please contact Michael Goldberg, Esquire, of Glancy Binkow & Goldberg LLP, 1801 Avenue of the Stars, Suite 311, Los Angeles, California 90067, by telephone at (310) 201-9150 or Toll Free at (888) 773-9224 or by e-mail to info@glancylaw.com.
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca.