BALA CYNWYD, Pa., Aug. 14, 2002 (PRIMEZONE) -- The following statement was issued today by the law firm of Schiffrin & Barroway, LLP:
A securities class action lawsuit pending in the U.S. District Court for the Southern District of New York (02-CV-5862) claims that Cross Media Marketing Corporation ("Cross Media" or the "Company") (AMEX:XMM) misled shareholders about its business and financial condition.
Plaintiff seeks damages for violations of Sections 10(b) and 20(a)of the Securities Exchange Act of 1934 on behalf of all investors who bought Cross Media Marketing Corporation securities between November 5, 2001 and July 7, 2002 (the "Class Period").
Schiffrin & Barroway, LLP has prosecuted shareholder class actions for over fourteen years and has recovered more than $1 billion for investors. If you are a shareholder of Cross Media Marketing Corporation and want to learn more about this lawsuit and about becoming a lead plaintiff, you may visit our website at http://www.sbclasslaw.com/cgi/signup.cgi.
The complaint alleges that the New York-based Cross Media Marketing Corporation issued numerous press releases during the Class Period which touted the Company's performance and represented that revenues and earnings were increasing. The truth regarding Cross Media was not fully disclosed until July 12, 2002, when defendants finally revealed that Cross Media would have a loss for the second quarter of 2002, and that revenues for the year would be significantly less than previously predicted. Cross Media stock dropped to $2.71 per share from $4.88 the previous day. The defendants had, prior to that date, among other things misrepresented the impact and nature of FTC proceedings brought against the Company and others.
If you purchased Cross Media Marketing Corporation securities between November 5, 2001 and July 7, 2002, you may be a member of the class and have until September 16, 2002 to move the court to become a lead plaintiff. In order to serve as lead plaintiff, however, you must meet certain legal requirements. To be a member of the class, however, you do not need to take any action at this time. Should you decide to seek appointment as a lead plaintiff, you may retain Schiffrin & Barroway, or retain counsel of your choice.
To learn more about your rights and interests in this case and your ability to potentially recoup your losses, please contact Schiffrin & Barroway (Marc A. Topaz, Esq. or Stuart L. Berman, Esq.) directly at 888-299-7706 (toll free) or 610-822-2221, fax number 610-822-0002, e-mail at info@sbclasslaw.com or visit our website at www.sbclasslaw.com.
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca.