Milberg Weiss Announces The Filing Of A Class Action Suit on Behalf of Purchasers of the Securities of Conseco, Inc

Business Wire, Oct 17, 2002

Business Editors & Legal Writers

NEW YORK--(BUSINESS WIRE)--Oct. 17, 2002

The law firm of Milberg Weiss Bershad Hynes & Lerach LLP announces that a class action lawsuit was filed on October 16, 2002, on behalf of purchasers of the securities of Conseco, Inc. ("Conseco" or the "Company") (OTC BB: CNCE.OB) between October 24, 2001 to August 9, 2002, inclusive, (the "Class Period").

A copy of the complaint filed in this action is available from the Court, or can be viewed on Milberg Weiss' website at: http://www.milberg.com/cases/conseco/

The action is pending in the United States District Court for the Southern District of Indiana, Indianapolis Division, against defendants Conseco, Gary C. Wendt (CEO and Chairman during the Class Period), Charles B. Chokel (CFO until March 6, 2002), William J. Shea (President and COO) and James S. Adams ( Chief Accounting Officer and Treasurer).

The complaint charges that defendants violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, and Rule 10b-5 promulgated thereunder, by issuing a series of materially false and misleading statements to the market between October 24, 2001 to August 9, 2002. According to the complaint, in order to allay investor concerns regarding the Company's liquidity, defendants, throughout the Class Period, represented that such concerns were "misplaced," that "the 2002 liquidity issues are behind us," and made similar statements representing that the Company had overcome its liquidity problems for 2002. The complaint further alleges that these, and other, representations were materially false and misleading because they failed to disclose that the measures Conseco had undertaken to better its liquidity had not proceeded as planned and the Company was still very much at risk of defaulting on its debt obligations in 2002. On August 9, 2002, the Company shocked the market by issuing a press release announcing that its turnaround had failed, that the Company was seeking to restructure in $6.5 billion debt with creditors and that the Company will default on certain bond interest payments. On August 12, 2002, the New York Stock Exchange suspended trading in Conseco stock. At the time trading was suspended, Conseco stock was selling for $0.34 per share -- a decline of 93% from the Class Period high.

If you bought the securities of Conseco between October 24, 2001 to August 9, 2002, you may, no later than October 29, 2002, request that the Court appoint you as lead plaintiff. A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member's claim is typical of the claims of other class members, and that the class member will adequately represent the class. 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 serve as a lead plaintiff. You may retain Milberg Weiss Bershad Hynes & Lerach LLP, or other counsel of your choice, to serve as your counsel in this action.

Milberg Weiss Bershad Hynes & Lerach LLP (http://www.milberg.com) is a 190-lawyer firm with offices in New York City, San Diego, San Francisco, Los Angeles, Boca Raton, Philadelphia and Seattle, and is active in major litigations pending in federal and state courts throughout the United States. Milberg Weiss has taken a leading role in many important actions on behalf of defrauded investors, consumers, and others, and has been responsible for more than $20 billion in aggregate recoveries. Please contact the Milberg Weiss website for more information about the firm. If you wish to discuss this action with us, or have any questions concerning this notice or your rights and interests with regard to the case, please contact the following attorneys:

Steven G. Schulman or Samuel H. Rudman

One Pennsylvania Plaza, 49th fl.

New York, NY, 10119-0165

Phone number: (800) 320-5081

Email: conseco@milbergNY.com

Website: http://www.milberg.com