MINNEAPOLIS, Jan. 24, 2007 (PRIME NEWSWIRE) -- Charles H. Johnson & Associates announces that a class action has been commenced in the United States District Court for the District of Columbia on behalf of purchasers of Sunrise Senior Living, Inc. ("Sunrise") (NYSE:SRZ) publicly traded securities during the period August 4, 2005 through June 15, 2006 (the "Class Period).
If you are a member of the proposed Class, you may move the court to serve as a lead plaintiff for the Class on or before March 16, 2006. You do not need to be a lead plaintiff in order to share in any recovery that may be obtained.
The Complaint charges Sunrise and certain of its officers and directors with violations of the Securities Exchange Act of 1934, because, during the Class Period, defendants issued materially false and misleading statements regarding the Company's business, its stock option plans, its compensation practices and its financial results. As a result of these false statements, Sunrise's common stock traded at artificially inflated prices during the Class Period, reaching a high of $39.68 per share on March 29, 2006. The individual defendants took advantage of Sunrise's falsified financial results, the artificial inflation of Sunrise's stock and its stock option plans by selling shares of their Sunrise stock for proceeds of over $34 million. The Complaint also alleges that defendants manipulated the Company's stock option plans so as to enrich themselves by "backdating" the stock options they were granted.
On May 9, 2006, Sunrise disclosed a delay in reporting its first quarter 2006 results to allow a review of its financial statements, and on July 31, 2006, Sunrise revealed it would be forced to restate its financial statements going back several years - at least to 1999 - and that its prior financial statements could no longer be relied upon. Sunrise also admitted it could not file current period financial statements for the first, second and third quarters of 2006 and that when it restated its financial results, at least $100 million of previously reported profits would be eliminated. As these revelations unfolded, Sunrise's stock fell from $39.62 on May 8, 2006 to as low as $24.40 on July 31, 2006.
If you purchased Sunrise Senior Living securities during the Class Period, or have any questions concerning this notice or your rights with respect to this matter, please contact::
Neil Eisenbraun, Esq. (cjohnsonlaw@gmail.com) Charles H. Johnson & Associates 2599 Mississippi Street New Brighton, MN 55112 (651) 633-5685
More information on this and other class actions can be found on the Class Action Newswline at www.primenewswire.com/ca