PHILADELPHIA, April 23, 2008 (PRIME NEWSWIRE) -- The law firm of Spector Roseman & Kodroff, P.C. announces that a securities class action lawsuit was commenced in the United States District Court for the Southern District of New York, on behalf of purchasers of American Depository Receipts ("ADRs") of Credit Suisse Group ("CS" or the "Company") (NYSE:CS) and U.S. residents or citizens who purchased Credit Suisse stock between February 15, 2007 through February 19, 2008, inclusive (the "Class Period").
The complaint charges Credit Suisse and certain of its officers and directors with violations of the Securities Exchange Act of 1934. Credit Suisse operates as a financial services company. The Company operates in three segments: Investment Banking, Private Banking, and Asset Management.
The complaint alleges that, during the Class Period, defendants issued materially false and misleading statements regarding the Company's business and financial results. The complaint further alleges that defendants failed to write down impaired securities containing mortgage-related debt. According to the complaint, the true facts, which were known by defendants but concealed from the investing public during the Class Period, were as follows: (a) that defendants failed to record losses on the deterioration in mortgage assets and collateralized debt obligations ("CDOs") on Credit Suisse's books caused by the high amount of non-collectible mortgages included in the portfolio; (b) that Credit Suisse's internal controls were inadequate to ensure that losses on residential mortgage-related assets were accounted for properly; and (c) that Credit Suisse's traders had put incorrect values on CDOs and other debt securities, concealing the exposure the Company had to losses.
On February 19, 2008, Credit Suisse announced that it had undertaken an internal review that resulted in the repricing of certain asset-backed positions in its Structured Credit Trading business. The total fair value reductions of these positions were estimated at approximately $2.85 billion. On this news, Credit Suisse's ADRs collapsed to close at $48.22 per ADR on February 19, 2008, a decline of almost 31% from $69.61 per ADR in early October 2007. The action seeks to recover damages on behalf of all purchasers of Credit Suisse ADRs and U.S. residents or citizens who purchased Credit Suisse stock during the Class Period (the "Class").
If you purchased Credit Suisse securities during the Class Period, you may, no later than June 20, 2008, move to be appointed as a Lead Plaintiff in this class action. A Lead Plaintiff is a representative chosen by the Court that acts on behalf of other class members in directing the litigation. The Private Securities Litigation Reform Act of 1995 directs Courts to assume that the class member(s) with the "largest financial interest" in the outcome of the case will best serve the class in this capacity. Courts have discretion in determining which class member(s) have the "largest financial interest," and have appointed Lead Plaintiffs with substantial losses in both absolute terms and as a percentage of their net worth.
If you sustained substantial losses in Credit Suisse securities during the Class Period, wish to join this action, or have any questions concerning this notice or your rights or interests, please contact plaintiff's counsel Robert M. Roseman toll-free at (888) 844-5862 or e-mail at classaction@srk-law.com for a more thorough explanation of the Lead Plaintiff selection process. If you have relatively small losses, your ability to participate in any recovery will be protected by the Lead Plaintiff(s), and you need take no affirmative steps at this time. For more detailed information about the firm please visit its website at http://www.srk-law.com .
Spector Roseman & Kodroff, P.C., located in Philadelphia, Pennsylvania, concentrates its practice in complex litigation including actions dealing with securities laws, antitrust, contract and commercial claims. The firm is active in major litigation pending in federal and state courts throughout the United States. The firm's reputation for excellence has been recognized on numerous occasions by courts which have appointed the firm as lead counsel in numerous major class actions involving violations of the federal securities laws and the federal antitrust laws, as well as consumer fraud. As a result of the efforts of the firm, and its members, hundreds of millions of dollars have been recovered through judgments and settlements on behalf of thousands of defrauded investors, consumers and companies.
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