Spector, Roseman & Kodroff, P.C. Announces Class Action Lawsuit Against Lucent Technologies, Inc

Business Wire, Jan 4, 2001

Business Editors & Legal Writers

PHILADELPHIA--(BUSINESS WIRE)--Jan. 4, 2001

The following statement was issued today by the law firm of Spector, Roseman & Kodroff, P.C.:

Notice is hereby given that a class action lawsuit was filed in the United States District Court for the District of New Jersey on behalf of all persons who purchased the common stock of Lucent Technologies, Inc. ("Lucent" or the "Company") (NYSE:LU) between July 20, 2000 and December 21, 2000, inclusive (the "Class Period").

The lawsuit alleges that Lucent, Richard A. McGinn, Deborah Hopkins and Henry B. Schacht violated sections 10(b) and 20(a) of the Securities Exchange Act of 1934. This action arises out of a series of materially false and misleading statements Defendants made concerning the business and financial operations of Lucent.

The complaint charges that defendants inflated the company's stock price during the Class Period by issuing financial statements that misrepresented the company's revenues and earnings. During that time, Lucent improperly recognized an estimated $679 million in revenue.

On December 21, 2000, defendants belatedly disclosed that Lucent would have to restate its financial results for the fiscal fourth quarter of 2000. The company said it improperly recognized revenue for a variety of reasons, including prematurely booked sales and misleading documentation. As a result of this belated disclosure, Lucent's stock price plummeted. In fact, the price of Lucent common stock has fallen almost $50 per share during the Class Period.

Plaintiffs seek to recover damages on behalf of all purchasers of Lucent common stock during the Class Period (the "Class"). The plaintiffs are represented by the law firm of Spector, Roseman & Kodroff, P.C., among others, who have extensive experience in prosecuting investor class actions and financial fraud.

If you are a member of the Class described above, you may, no later than 60 days from December 29, 2000, 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.

If you wish to discuss 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 via E-mail at classaction@spectorandroseman.com.

For more detailed information about the firm please visit its website at http://www.spectorandroseman.com.