No. 7
Tuesday January 11, 12:29 pm Eastern Time
Company Press Release
SOURCE: Bernstein Liebhard & Lifshitz, LLP
Class Action Lawsuit Commenced Against
FreeMarkets Inc. (FMKT) by Bernstein Liebhard & Lifshitz, LLP
NEW YORK, Jan. 11 /PRNewswire/ -- A securities class action lawsuit was commenced on behalf of
purchasers of the common stock of FreeMarkets, Inc. (Nasdaq: FMKT - news; ''FreeMarkets'' or the
''Company''), between December 10, 1999 and January 4, 2000, inclusive, (the ''Class Period''), in the United
States District Court for the Western District of Pennsylvania.
The complaint charges FreeMarkets and certain of its directors and executive officers with violations of the
Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder. The complaint alleges that the
defendants failed to disclose material information about the Company in the prospectus issued in connection with
the Company's initial public offering (the ''IPO''). Specifically, the complaint charges that prior to the IPO,
defendants knew that General Motors Corporation, one of FreeMarkets' largest customers, intended to cancel
its contract with FreeMarkets in the first quarter 2000 and funnel its internet business to Commerce One. The
loss of this revenue would have a material adverse impact on FreeMarkets. Defendants, however failed to
disclose this information to the investing public prior to the IPO. As a result of these misrepresentations and
omissions, the price of FreeMarkets's common stock was artificially inflated throughout the Class Period. When
the truth was disclosed, FreeMarkets's stock price plunged more than $70 per share.
Plaintiff seeks to recover damages on behalf of all those who purchased or otherwise acquired FreeMarkets
common stock during the Class Period.
If you purchased or otherwise acquired FreeMarkets securities during the Class Period, and either lost money on
the transaction or still hold the stock, 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 60 days from January 5, 2000.
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.
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 Mr. Mark Punzalan, Director of Shareholder Relations
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 FreeMarkets@bernlieb.com.
SOURCE: Bernstein Liebhard & Lifshitz, LLP |
