Kirby McInerney & Squire Announces Class Action Lawsuit Against Lucent Technologies, Inc

Business Wire, Nov 25, 2000

Business Editors & Legal Writers

NEW YORK--(BUSINESS WIRE)--Nov. 25, 2000

The following is an announcement by the law firm of Kirby McInerney & Squire, LLP:

Kirby McInerney & Squire, LLP Retained to Commence Class Action

Lawsuit Against Lucent Technologies, Inc.

Please take notice that Kirby McInerney & Squire has been retained to commence a class action lawsuit in the United States District Court for the District of New Jersey on behalf of all purchasers of Lucent Technologies (NYSE: LU) securities between Oct. 10, 2000 and Nov. 20, 2000 (the "Class Period").

The complaint will charge Lucent and certain of its officers and directors with violations of the Securities Act of 1934. Specifically, the complaint will allege that Lucent issued materially false and misleading financial information concerning the Company's revenues and earnings.

On Nov. 21, 2000, Lucent issued a press release announcing inter alia: (i) that a special committee of the Company's Board, an outside auditor, and outside counsel had been formed to investigate the Company's accounting practices relating to its fiscal fourth quarter (ended Sept. 30, 2000), specifically focusing on a "revenue recognition issue" impacting approximately $125 million of revenue; and (ii) that its previously announced results for the fourth quarter had been overstated by 2 cents per share.

The Nov. 21, 2000 announcement restated that $9.4 billion in revenue that Lucent reported for its fourth quarter on Oct. 23, 2000, leading to a downward restatement of the quarterly earnings and earnings per share previously announced on Oct. 10 and Oct. 23. The complaint alleges that former Lucent Chairman/ CEO Richard McGinn was motivated to cause Lucent to report inflated revenues and earnings in attempt to maintain his position in the face of the growing tide of investor dissatisfaction.

Kirby McInerney & Squire, LLP specializes in complex litigation, including securities class actions and has repeatedly demonstrated its expertise in this field. The firm 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 published decisions.

If you are a member of the class described above, you may, no later than January 21, 2001, move the Court to serve as lead plaintiff of the class, if you so choose. In order to serve as lead plaintiff, however, you must meet certain legal requirements, as set out in the Private Securities Litigation Reform Act of 1995. A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. Class members need not, however, seek appointment as lead plaintiff in order to share in any recovery resulting from this litigation.

If you wish to discuss the claims described above, or have any questions concerning this notice or your rights, please contact:

Ira Press, Esq. Gretchen Becht, Paralegal KIRBY McINERNEY & SQUIRE, LLP 830 Third Avenue, 10th Floor New York, NY 10022 Telephone: (212) 317-2300 or Toll Free (888) 529-4787 E-mail: gbecht@kmslaw.com