Shareholder files class action against CAI Wireless Systems Inc

Business Wire, Jan 8, 1997

PHILADELPHIA--(BUSINESS WIRE)--Jan. 8, 1997--Berger & Montague, P.C., and Powers & Santola commenced a class action Wednesday in the United States District Court for the Northern District of New York pursuant to federal securities laws on behalf of purchasers of CAI Wireless Systems Inc. (NASDAQ:CAWS) ("CAI") common stock during the May 23, 1996 to Dec. 5, 1996 Class Period.

The defendants named in this litigation are CAI and certain of its executive officers and directors.

The complaint alleges that CAI and two of its officers and directors violated the federal securities laws by issuing misleading press releases and other statements regarding the company's ability to commercially market an Internet transmission product, and its business relationship with Bell Atlantic Corp. and NYNEX Corp.

By issuing these allegedly false and misleading statements, defendants artificially inflated CAI's stock price throughout the Class Period, allowing CAI's chief executive officer to sell shares of his personal holdings of CAI stock for proceeds of over $6 million, before the true facts about CAI's business relationships were revealed.

At the end of the Class Period, CAI's stock collapsed from a high of over $13 per share in the Class Period to below $2 per share, thereby damaging plaintiff and other members of the Class who purchased the stock relying on the market price to accurately reflect the company's true value.

Plaintiff seeks to recover the damages suffered by the class members and is represented by the law firms of Berger & Montague, P.C., and Powers & Santola.

If you wish to discuss this action or have any questions concerning this notice of your rights with respect to this matter, you may call or write to: Sherrie R. Savett, Esq., or Arthur Stock, Esq., Berger & Montague, P.C., 1622 Locust St., Philadelphia, PA 19103, telephone numbers 215/875-3000 or 800/424-6690, fax number 215/875-4604, or by e-mail at InvestorProtect@bm.attmail.com, or John Powers, Powers & Santola, 39 N. Pearl St., Albany, NY 12208, 518/465-5995.

Berger & Montague, P.C. has recovered over 1 billion dollars for shareholders over more than 20 years, and has been widely recognized by Courts for the high quality of their representation of defrauded investors, as well as for their expertise in complex antitrust, environmental and consumer protection cases.

This early notice to class members is being made pursuant to applicable law. If you are a member of the class described above, you may move the court to serve as lead plaintiff of the class within 60 days from today.

CONTACT: Berger & Montague, P.C., Philadelphia

Counsel for plaintiff:

Sherrie R. Savett, Esq. or Arthur Stock, Esq.,

800/424-6690 or 215/875-3000

E-mail: InvestorProtect@bm.attmail.com