CORAL SPRINGS, Fla., May 16, 2005 (PRIMEZONE) -- The law firm of Mager White & Goldstein, LLP announces that a class action lawsuit has been filed in the U.S. District Court for the Middle District of Florida on behalf of shareholders who purchased or acquired securities of FindWhat.com ("FindWhat") (Nasdaq:FWHT) between January 5, 2004 and May 4, 2005 (the "Class Period").
The lawsuit alleges that FindWhat, Craig Pisaris-Henderson, Brenda Aguis, Frederick E. Guest and Phillip R. Thune violated the Securities and Exchange Act of 1934 by failing to disclose and misrepresenting the following: (1) FindWhat's failure to appropriately acknowledge the goodwill impairment resulting from the Company's merger with Miva; (2) FindWhat's failure to reveal that the Company had been actively seeking new accountants since January 2005; (3) the Company's violation of Generally Accepted Accounting Practices ("GAAP") in determining their financial results; and (4) the Company's lack of necessary internal controls. As a result, FindWhat's financial results were materially inflated at all relevant times.
On May 2, 2005, FindWhat announced that the Company's accountants, Ernst and Young LLP, were resigning. The company also revealed that it had recorded an adjustment in its consolidated financial statements for 2004, relative to recognition of the goodwill impairment. The market reacted to this news, and on May 3, 2005, FindWhat fell $2.04 per share, or 26%, to close at $5.71 per share. On May 4, 2005, FindWhat announced the resignation of its CFO, Brenda Aguis. On this news, the Company's stock plummeted an additional $2.33 per share, or 38% on May 5, 2005.
If you purchased FindWhat.com securities during the class period and sustained damages, you may, no later than July 5, 2005, request that the Court appoint you as lead plaintiff. A lead plaintiff is a representative who acts on behalf of other class members in directing the litigation. Under certain circumstances, several class members may together serve as "lead plaintiff." Your ability to share in any recovery is not, however, affected by whether or not you serve as lead plaintiff. You may retain Mager White & Goldstein, LLP, or other counsel, to represent you in this action.
Mager White & Goldstein has offices in Pennsylvania and Florida. The firm's attorneys have been litigating complex commercial matters for over twenty years. Please visit the Mager White & Goldstein website (http://www.mwglawfirm.com) for additional information about the firm.
If you wish to discuss the lawsuit against FindWhat.com with us, or have any questions about this notice or your legal rights with regard to this case, please contact the following attorney: