NEW YORK, May 13, 2004 – LAWFUEL – The Law Firm of Geller Rudman, PLLC
announced today that a class action lawsuit has been filed in the United
States District Court for the Northern District of Illinois, Eastern Division
on behalf of purchasers of McDonald’s Corporation (NYSE: MCD) (“McDonald’s” or
the “Company”) publicly traded securities during the period between
December 14, 2001 and January 22, 2003, inclusive (the “Class Period”). 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.geller-rudman.com/view_case.asp?cID=267 .
The complaint charges McDonald’s and certain of its officers and directors
with violations of the Securities Exchange Act of 1934 (the “Exchange Act”).
The complaint alleges that during the Class Period, defendants issued false
and misleading statements to the marketplace that artificially inflated the
price of McDonald’s shares. In particular, the Company misrepresented its
business and future prospects by failing to disclose and misrepresenting that
hundreds of its restaurants were underperforming and that the Company had
incurred hundreds of millions of dollars in unrecorded asset impairment and
other charges.
Defendants’ scheme began to unravel when in September 2002, the Company
reported that “comparable sales” (i.e., year-over-year sales comparisons for
restaurants that had been open for more than thirteen months) had continued to
decline, especially in U.S. and European markets, making it impossible for the
Company to meet its 2002 earnings guidance.
Then on January 23, 2003, defendants announced that the Company had
incurred losses of more than $810 million related, primarily, to the closure
of over 700 underperforming restaurants and the write-off of hundreds of
millions of dollars of previously capitalized technology costs.
Prior to the disclosure of the adverse facts described above, the Company
completed fixed-rate debt offerings of at least $900 million at highly
favorable interest rates. In addition, the Individual Defendants, as well as
other McDonald’s insiders, sold over 939,000 shares of McDonald’s common
shares, at or near market highs, generating proceeds of more than $26 million.
If you bought McDonald’s publicly traded securities between December 14,
2001 and January 22, 2003, inclusive, and you wish to serve as lead plaintiff,
you must move the Court no later than June 4, 2004. If you are a member of
this class, you can join this class action online at
http://www.geller-rudman.com . Any member of the purported class may move the
Court to serve as lead plaintiff through Geller Rudman or other counsel of
their choice, or may choose to do nothing and remain an absent class member.
Geller Rudman, PLLC is a national law firm that represents investors and
consumers in class action and corporate governance litigation. It is one of
the country’s premier firms in the area of securities fraud, with in-house
finance and forensic accounting specialists and extensive trial experience.
Since its founding, Geller Rudman, PLLC has grown to become one of the most
respected and successful firms representing investors and consumers in class
action litigation. The firm came of age under the client focused realities of
the Private Securities Litigation Reform Act of 1995, which provided new
opportunities for institutional investors to assume leadership in combating
securities fraud.
The firm’s lawyers have achieved substantial recoveries for aggrieved
investors and consumers in class action lawsuits prosecuted in state and
federal courts throughout the nation. Geller Rudman, PLLC maintains a widely
recognized reputation for excellence, as courts have repeatedly appointed the
firm to major positions in intricate multi-district or consolidated
litigations. In this regard, Geller Rudman, PLLC has successfully pursued
hundreds of class action lawsuits, has taken a lead role in numerous complex
litigations on behalf of defrauded investors and consumers and has been
responsible for billions in recoveries as well as landmark corporate
governance changes. The firm maintains offices in Boca Raton and New York.
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 http://www.geller-rudman.com .
Contact:
GELLER RUDMAN, PLLC
Samuel H. Rudman, Esq. or David A. Rosenfeld, Esq.
Client Relations Department:
200 Broadhollow, Suite 406
Melville, NY 11747
631-367-7100
Toll Free: 1-877-992-2555
Fax: 1-631-367-1173
E-mail: info@geller-rudman.com
