Gold Bennett Cera & Sidener LLP Announces Class Action Lawsuit Against Rent-Way, Inc.

Nov 20, 2000, 00:00 ET from Gold Bennett Cera & Sidener LLP

    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 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

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