Cauley Geller Bowman & Coates, LLP Announces Metromedia Fiber Network, Inc. Investors Have Until October 22, 2001 to File Lead Plaintiff Motion -- MFNX


LITTLE ROCK, Ark. Oct. 16, 2001 (PRIMEZONE) -- The deadline for purchasers of Metromedia Fiber Network, Inc. ("Metromedia" or the "Company") (Nasdaq:MFNX) securities to move for lead plaintiff in a securities fraud class action recently brought against the Company is rapidly approaching. If you purchased Metromedia securities between January 8, 2001 and July 2, 2001, inclusive (the "Class Period"), and you wish to be a lead plaintiff in the case, you must move to serve as lead plaintiff by filing a motion in the United States District Court for the Southern District of New York by October 22, 2001. The case number is 01 CV 7843. A copy of the complaint filed in this action is available from the Court, or can be viewed on the firm's Website at http://www.classlawyer.com/pr/metromedia.pdf.

The Complaint, filed by a client of the Law Firm of Cauley Geller Bowman & Coates, LLP, alleges that Metromedia and certain of its officers and directors violated the federal securities laws by issuing a series of material misrepresentations to the market during the Class Period, thereby artificially inflating the price of Metromedia securities. Specifically, throughout the Class Period, defendants issued multiple press releases announcing and highlighting Metromedia's receipt of a $350 million credit facility from Citicorp USA, Inc. ("Citicorp") which would enable Metromedia to complete the construction of an extensive fiber optic network. These statements were materially false and misleading because defendants failed to disclose that (1) the Citicorp credit facility was contingent on the receipt of additional commitments from other lenders and that Metromedia was experiencing difficulty obtaining such commitments given the distressed market for telecom companies; (2) the further development of the Company's fiber optic network would be significantly delayed without obtaining the credit facility which was dependent on obtaining the necessary additional loan commitments; and (3) based on the foregoing, defendants' statements about the Company and its prospects were lacking in a reasonable basis at all times. Finally, on July 2, 2001, Metromedia issued a press release announcing that it received an extension of the commitment letter for its $350 million credit facility from Citicorp and revealed for the first time that the commitment letter from Citicorp was subject to the receipt of commitments from other lenders in the amount of $287.5 million. In response to this announcement, shares of Metromedia's stock closed at $1.95 per share on July 2, 2001, a far cry from the class period high of $19.06 reached on January 19, 2001.

If you bought the securities of Metromedia between January 8, 2001 and July 2, 2001, inclusive, you may, no later than October 22, 2001, 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 Cauley Geller Bowman & Coates, LLP, or other counsel of your choice, to serve as your counsel in this action. If you are a member of this class, you can join this class action online at http://www.classlawyer.com/sign_up.html.

Cauley Geller Bowman & Coates, LLP has substantial experience representing investors in securities fraud class action lawsuits such as this. The firm has offices in Florida, Arkansas and California, but represents shareholders from throughout the nation. If you have any questions about how you may be able to recover for your losses, or if you would like to consider serving as one of the lead plaintiffs in this lawsuit, you are encouraged to call or e-mail the Firm or visit the Firm's Website at www.classlawyer.com.


 CAULEY GELLER BOWMAN & COATES, LLP
 Investor Relations Department:
 Jackie Addison, Sue Null or Charlie Gastineau
 Toll Free: 1-888-551-9944
 E-mail: info@classlawyer.com

More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca.



            

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