NEW YORK, May 15, 2003 (PRIMEZONE) -- Please take notice that the law firm of Kirby McInerney & Squire, LLP has commenced a class action lawsuit in the United States District Court for the Southern District of New York on behalf of all purchasers of UnumProvident Corporate-Backed Trust Securities ("CorTS") Certificates pursuant to or traceable to an initial public offering by CorTS Trust II For Provident Financing Trust I (NYSE:KCC) on or about April 18, 2001 through March 24, 2003, inclusive (the "Class Period").
A copy of the complaint is available from the Court or from Kirby McInerney & Squire. Please visit our website, which offers summary and detailed information concerning the case, at http://www.kmslaw.com/new_cases/corts/corts.htm, or contact us by phone at (888) 529-4787 or by email at emui@kmslaw.com.
The action charges violations of the Securities and Exchange Act of 1934 against CorTS Trust II For Provident Financing Trust I, Provident Financing Trust I, UnumProvident Corporation ("UnumProvident") (NYSE:UNM), Salomon Smith Barney, Prudential Securities, First Union Securities and certain UnumProvident officers, including its Chief Executive and Chief Financial Officers. UnumProvident is a provider of group and individual disability insurance, as well as other complementary insurance products such as long-term care insurance, life insurance, employer- and employee-paid group benefits and related services. Through its principal subsidiaries, including Unum Life Insurance Company of America, Provident Life and Accident Insurance Company, The Paul Revere Life Insurance Company, and Colonial Life & Accident Insurance Company, UnumProvident Corporation operates throughout North America and in the United Kingdom, Japan and Argentina.
At the beginning of the Class Period, on or about April 18, 2001, CorTS Certificates were issued by CorTS Trust II For Provident Financing Trust I, with issuance and payment of Certificates ultimately guaranteed by UnumProvident. Yet, throughout the Class Period, UnumProvident failed to properly account for long-term investment impairments, thereby grossly inflating financial results. On February 5, 2003 UnumProvident announced recorded investment losses of $93 million and an inquiry by the SEC requesting information relating to its investment disclosures.
Later, on March 11, 2003, following a series of negative analyst reports and increasing investor concerns over UnumProvident's losses, the price of CorTS Certificates fell to as low as $12.60. On March 24, 2003, UnumProvident revealed the truth that its previously issued financial statements were, in fact, materially inaccurate and misleading, and a restatement of its financial statements for previous years would be required. Payment of CorTS certificates was imperiled by UnumProvident's materially false and misleading actions, thereby jeopardizing the value of CorTS Certificates.
As a result of the foregoing, the lawsuit seeks to recover losses suffered by purchasers of CorTS Certificates during the Class Period, excluding defendants and their affiliates.
Kirby McInerney & Squire, LLP, which specializes in complex litigation, including securities class actions, represents aggrieved Allou investors. The firm has repeatedly demonstrated its expertise in this field, and has been recognized by various courts which have appointed the firm to major positions in consolidated and multi-district litigation. The firm's efforts on behalf of shareholders in securities litigation have resulted in recoveries totaling hundreds of millions of dollars, and its achievements and quality of service have been chronicled in numerous published decisions. More information about the firm, class actions in general, or about the role of the lead plaintiff in a securities class action can be obtained through Kirby McInerney & Squire's website at www.kmslaw.com.
If you are a member of the class described above, you may, no later than July 8, 2003, move the Court to serve as lead plaintiff of the class, if you so choose, pursuant to the Private Securities Litigation Reform Act of 1995 (the "PSLRA"), 15 U.S.C. section 78u-4(a). A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. Under certain circumstances, one or more class members may together serve as lead plaintiff. Your ability to share in any recovery is not, however, affected by the decision whether or not to seek appointment as a lead plaintiff. For more information about the case, its claims, and your rights, please contact:
Ira M. Press, Esq. Elaine Mui KIRBY McINERNEY & SQUIRE, LLP 830 Third Avenue, 10th Floor New York, New York 10022 Telephone: (212) 317-2300 or Toll Free (888) 529-4787 E-Mail: emui@kmslaw.com
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca