SAN FRANCISCO, Nov. 20 /PRNewswire/ -- Gold Bennett Cera & Sidener LLP announced today that it had filed a class action in the United States District Court for the Eastern District of Pennsylvania, Civil No. 00CV005890 on behalf of purchasers of Rent-Way, Inc. ("Rent-Way" or the "Company") (Nasdaq: RWY) common stock during the period between January 18, 2000 through October 27, 2000 (the "Class Period"). Plaintiff seeks to recover damages on behalf of all purchasers of Rent-Way securities during the Class Period. The plaintiff is represented by the San Francisco law firm of Gold Bennett Cera & Sidener LLP. For over 30 years, Gold Bennett Cera & Sidener LLP and its predecessors have successfully engaged in complex commercial litigation, including shareholder, consumer and antitrust class actions, in federal and state courts throughout the United States, recovering hundreds of millions of dollars for its clients. Purchasers of Rent-Way securities may visit the Firm's website at http://www.gbcsf.com for additional information. On October 30, 2000, Rent-Way publicly disclosed that it was investigating certain accounting matters, including possible accounting irregularities, which could result in revision of previously issued financial statements. The Company also reported that it had suspended its Corporate Controller and that its President and Chief Operating Officer had relinquished his operating duties. The next day, in response to this announcement, the price of Rent-Way common stock declined on October 31, 2000, from $23.4375 per share to $4.75 per share, a one-day decrease of 79%. The Complaint alleges that the Company and certain officers and directors violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, and Rule 10b-5 promulgated thereunder. Specifically, defendants issued a series of material misrepresentations to the market which caused the price of Rent-Way securities to be artificially inflated during the Class Period. In particular, the Complaint charges Rent-Way with issuing statements concerning, among other things, the Company's fiscal 2000 interim financial results and its ability to reach growth targets. However, these reported financial results were allegedly attributable to improper accounting practices which resulted in the overstatement of the Company's net assets. If you are a member of the Class described above, you may, no later than January 2, 2001, move the Court to serve as lead plaintiff of the Class, if you so choose. In order to serve as lead plaintiff, however, you must meet certain legal requirements. If you wish to discuss this action or have any questions concerning this case or your rights or interests, please contact Joseph M. Barton, Esq. of Gold Bennett Cera & Sidener LLP, 595 Market Street, Suite 2300, San Francisco, California 94105, by telephone at 800-778-1822 or 415-777-2230, by facsimile at 415-777-5189 or by e-mail at Rent-Way@gbcsf.com.
SOURCE Gold Bennett Cera & Sidener LLP