Bernstein Liebhard & Lifshitz, LLP Announces Class Action Lawsuit Commenced Against Ceridian Corporation (CEN)

A securities class action lawsuit was commenced in the United States District Court for the District of Minnesota, on behalf of all persons who purchased or acquired Ceridian Corp. (NYSE: CEN) ("Ceridian" or the "Company") securities (the "Class") between April 17, 2003 and July 19, 2004, inclusive (the "Class Period"). A copy of the complaint is available from the Court or from Bernstein Liebhard & Lifshitz, LLP. Please visit our website at http://www.bernlieb.com or contact us at (800) 217-1522 or by email at CEN@bernlieb.com.

Plaintiff alleges that during the Class Period defendants artificially inflated the price of Ceridian stock by issuing financial statements that were materially false and misleading for the following reasons: (i) the Company had been capitalizing software costs instead of expensing such costs at its U.S. Human Resource Solutions business; (ii) as a result of inappropriately capitalizing costs, Ceridian's reported earnings and assets were artificially inflated; (iii) contrary to defendants' express representations, the Company's reported financial statements were not made in accordance with Generally Accepted Accounting Principles and did not fairly present the Company's results and financial condition; and (iv) the Company's seeming success was, in fact, attributable in material part to defendants' accounting manipulations.

On July 19, 2004, Ceridian issued a press release announcing that it had launched an internal investigation examining the Company's capitalization and expensing of costs. According to the press release, the Company would not issue financial results until the review was completed, noting that the outcome may impact Ceridian's financial statements for the second quarter of 2004 and prior periods. Ceridian's stock price declined sharply in response to this disclosure, falling from $20.34 per share on July 19, 2004 to $18.21 per share on July 20, 2004, a one day drop of 10.4%, on unusually heavy trading volume of over 6.8 million shares. During the Class Period, defendants Eickhoff, the Company's CFO, sold a total of 165,298 shares of Ceridian common stock for proceeds of $2,961,607, while defendant Turner, the Company's CEO, sold 51,000 shares for proceeds of $1,014,560.

Plaintiff seeks to recover damages on behalf of all those who purchased or otherwise acquired Ceridian securities during the Class Period. If you purchased or otherwise acquired Ceridian securities during the Class Period, and either lost money on the transaction or still hold the securities, you may wish to join in the action to serve as lead plaintiff. In order to do so, you must meet certain requirements set forth in the applicable law and file appropriate papers no later than October 5, 2004.

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 Bernstein Liebhard & Lifshitz, LLP, or other counsel of your choice, to serve as your counsel in this action.

Bernstein Liebhard & Lifshitz, LLP has been retained as one of the law firms to represent the Class. The attorneys at Bernstein Liebhard & Lifshitz, LLP have extensive experience in securities class action cases, and have played lead roles in major cases resulting in the recovery of hundreds of millions of dollars to investors. For more information about Bernstein Liebhard & Lifshitz, LLP, please visit our website at http://www.bernlieb.com.

If you would like to discuss this action or if you have any questions concerning this Notice or your rights as a potential Class member or lead plaintiff, you may contact our Shareholder Relations Department at Bernstein Liebhard & Lifshitz, LLP, 10 East 40th Street, New York, New York 10016, (800) 217-1522 or (212) 779-1414 or by e-mail at CEN@bernlieb.com.

Contact: Shareholder Relations Department Bernstein Liebhard & Lifshitz, LLP (800) 217-1522 or (212) 779-1414 CEN@bernlieb.com