COLCHESTER, Conn., May 10, 2005 (PRIMEZONE) -- Scott + Scott, LLC which filed a class action securities fraud case on behalf of shareholders in the United States District Court for the Western District of Washington states that today is the final day to move the Court for appointment of Lead Plaintiff and to become a CTIC client shareholder of the Firm. Those who purchased publicly traded securities or otherwise acquired securities in Cell Therapeutics, Inc. (the "Company") (Nasdaq:CTIC) from June 7, 2004 and March 4, 2005 (the current "Class Period") are those who purchased during the time the alleged fraud took place. Any shareholder may make inquiry of this case. On March 7, 2005, the Company announced that its study of a product had missed its primary goal and the stock, which had traded as high as $10.49 during the Class Period, fell almost 50% to close at $5.25 per share on volume of 33 million per share. The stock is trading at the opening today at $3.44 per share. To learn more about this case, you can call Neil Rothstein directly at 619/251-0887 or e-mail asaba@scott-scott.com or nrothstein@scott-scott.com .
According to its website, Cell Therapeutics, Inc. develops, acquires and commercializes treatments for cancer. The research and in licensing activities are focused on identifying ways to treat cancer. The Company markets TRISENOX (arsenic trioxide) for the treatment of relapsed or refractory acute promyelocytic leukemia (APL) in the United States and in Europe. It is developing XYOTAX (paclitaxel poliglumex) for the potential treatment of non- small cell lung cancer (NSCLC) and ovarian cancer. The Company has completed enrollment of more than 1,700 patients in three pivotal Phase III trials of XYOTAX, known as STELLAR 2, 3 and 4, for the treatment of NSCLC. It also develops pixantrone, a compound in the class of drugs known as anthracyclines, for the potential treatment of non-Hodgkin's lymphoma (NHL) and has several clinical trials ongoing, including a pivotal Phase III trial for the potential treatment of relapsed aggressive NHL. An analyst was reported in Forbes.com on May 5, 2005 to have expressed worry for the Company's lead drug, XYOTAX, due to the 'company's financing." This comes after the Company reported a first-quarter loss of $39.1 million.
PROCEDURE: A plaintiff must move today (60th day) for appointment as lead plaintiff. During this first sixty-day period after notification of the Complaint, a plaintiff has the opportunity to join Scott + Scott's Cell Therapeutics client/shareholder list which permits those clients/shareholders greater access to information and discussion about the case and to receive the benefit of continued access to these attorneys as the case moves forward. If you would like to view a copy of this complaint and fill out the necessary paperwork, please contact attorney Neil Rothstein at nrothstein@scott-scott.com or asaba@scott-scott.com. Or you can call our Connecticut office at 800/404-7770 or in California at 800/332-2259. You can dial direct in California at 619/233-4565 or reach Mr. Rothstein at 619/251-0887 or Ms. Saba at 619/233-4565. Scott + Scott, LLC has its headquarters at 108 Norwich Avenue, Colchester, CT 06415; phone: 860/537-3818; fax: 860/537-4432.
ALLEGED FRAUD: It is alleged that the Company made false and misleading statements about the success of the clinical trials for a drug to be used for treatment of a type of lung cancer. The true facts were allegedly concealed from the investors, but known to the defendants about this drug, XYOTAX. Defendants were allegedly claiming this drug would meet its endpoint goal, but it was known by defendants that it would not; the Company's untrue statement s that it would conduct "pre-launch" activities or submit a new application for this drug were highly overstated and in fact, the veracity of these statements is questionable; finally, the success rate for those using this drug were not superior to those taking another medication used for the same purpose.
INSIDER TRADING: Prior to the drop in the stock, the defendants sold more than $18.4 million worth of the shares in a private placement.
Scott + Scott, LLC has litigated or is the process of litigating and working on many pharmaceutical cases including: Rhodia, Forest Laboratories, Merck, Pfizer, ImClone, GlaxoSmithKline and more.
You can visit our website, under reconstruction, to learn more about the firm: http://www.scott-scott.com . The Firm was recently appointed Lead Counsel by a Federal Court in the Halliburton Securities Litigation after its client, a Lead Plaintiff in the case, demanded that Scott + Scott fight to block a settlement deemed inadequate. Final approval for that settlement was denied and the case will now move forward absent the other Lead Plaintiffs and their counsel.
Scott + Scott, LLC is a firm that devotes most of its practice to securities, antitrust and employment benefits litigation. The firm is nationally recognized with offices in Colchester, Connecticut; San Diego, California; and Chagrin Falls, Ohio. For more information about the lawsuit or this press release, please e-mail nrothstein@scott-scott.com or asaba@scott-scott.com. You can dial direct in California at 619-233-4565 or toll-free as stated above. Scott + Scott dedicates itself to client communication and satisfaction. It represents individuals, foundations, corporations and others nationwide in securities, antitrust and employee litigation. Take the time to find out more about the firm, its practice and other cases. If you wish to discuss this action with an attorney or have any questions concerning this notice, your rights or any matter within our expertise, please contact attorney Neil Rothstein as stated above or by cell: 619/251-0887. Scott + Scott, LLC is located at 108 Norwich Avenue, Colchester, CT 06415; phone: 860/537-3818; fax: 860/537-4432. This release is issued in accordance with the applicable U.S. federal law.
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca