HARTFORD, Conn., Aug. 22, 2007 (PRIME NEWSWIRE) -- The law firm of Schatz Nobel Izard P.C., which has significant experience representing investors in prosecuting claims of securities fraud, announces that a lawsuit seeking class action status has been filed in the United States District Court for the Southern District of New York on behalf of all persons who purchased the securities of Scholastic Corp. ("Scholastic") (Nasdaq:SCHL) between March 18, 2005 and March 23, 2006, inclusive (the "Class Period").
The Complaint charges that Scholastic, its Chief Executive Officer and its Chief Financial Officer violated federal securities laws by making false and misleading statements regarding Scholastic's financial prospects. Specifically, the Complaint alleges that (1) Scholastic's Educational Publishing division was experiencing declining results and underperforming internal expectations; (2) that its operations in the United Kingdom were not performing well and would have to be reorganized; (3) that its financial results were materially overstated by failing to timely write -- down the value of certain print reference assets and to properly reserve for certain bad debts; and (4) as a result of the foregoing, Defendants lacked a reasonable basis for their positive statements about Scholastic and its prospects.
If you are a member of the class, you may, no later than October 19, 2007, request that the Court appoint you as lead plaintiff of the class. A lead plaintiff is a class member that acts on behalf of other class members in directing the litigation. Although your ability to share in any recovery is not affected by the decision whether or not to seek appointment as a lead plaintiff, lead plaintiffs make important decisions which could affect the overall recovery for class members, including decisions concerning settlement. The securities laws require the Court to consider the class member(s) with the largest financial interest as presumptively the most adequate lead plaintiff(s).
While Schatz Nobel Izard P.C. has not filed a lawsuit against the defendants, to view a copy of the Complaint initiating the class action or for more information about the case, class action cases in general, and your rights, please contact Schatz Nobel Izard P.C. toll free at (800) 797 5499, or by e mail at firm@snilaw.com, or visit our website: www.snilaw.com.