Wolf Haldenstein Adler Freeman and Herz LLP Announces Commencement Of Securities Case Against Red Hat, Inc. (Nasdaq: RHAT)

Apr 10, 2001, 01:00 ET from Wolf Haldenstein Adler Freeman & Herz LLP

    NEW YORK, April 10 /PRNewswire/ -- Wolf Haldenstein Adler Freeman & Herz
 LLP announces that it filed a class action lawsuit in the United States
 District Court for the Southern District of New York on behalf of purchasers
 of the securities of Red Hat, Inc. ("Red Hat" or the "Company")
 (Nasdaq: RHAT) between August 11, 1999 and May 25, 2000, inclusive (the "Class
 Period"), against defendants Red Hat, Inc., Goldman Sachs & Co., Credit Suisse
 First Boston Corporation, Robert F. Young, Matthew J. Szulik and Marc Ewing.
     A copy of the complaint filed in this action is available from the Court,
 or can be viewed on the Wolf Haldenstein website at http://www.whafh.com.
     The complaint, entitled Jordan v. Red Hat, Inc., et al., 01-CV-3025 (CSH),
 alleges that defendants violated the Securities Act of 1933 and the Securities
 Exchange Act of 1934 by issuing a Registration Statement and Prospectus (the
 "Offering Documents") containing materially false and misleading information
 and by failing to disclose material information.  The Offering Documents,
 which was filed in connection with Red Hat's August 11, 1999 initial public
 offering of 6 million shares of common stock (the "IPO") failed to disclose to
 investors that various underwriters had solicited and received excessive and
 undisclosed commissions from certain investors in connection  with their
 purchases of Red Hat stock.  As alleged in the complaint, the Securities and
 Exchange Commission is investigating underwriting practices in connection with
 several other initial public offerings underwritten by defendants Goldman
 Sachs and Credit Suisse.
     Specifically, the complaint alleges that the Offering Documents was
 materially false and misleading because they failed to disclose, among other
 things,  that: (i) Goldman Sachs and Credit Suisse had solicited and received
 excessive and undisclosed commissions from certain investors in exchange for
 which Goldman Sachs and Credit Suisse allocated to those investors material
 portions of the restricted number of Red Hat shares issued in connection with
 the IPO; and (ii) Goldman Sachs and Credit Suisse had entered into agreements
 with customers whereby Goldman Sachs and Credit Suisse agreed to allocate Red
 Hat shares to those customers in the IPO in exchange for which the customers
 agreed to purchase additional Red Hat shares in the aftermarket at
 pre-determined prices.
     If you purchased Red Hat securities between August 11, 1999 and May 25,
 2000, you may, no later than May 28, 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."  Any application
 to the Court can be made on your behalf by counsel of your choice, or without
 counsel if you so choose.  Your ability to share in any recovery is not,
 however, affected by the decision whether or not to serve as a lead plaintiff.
 
     Wolf Haldenstein has extensive experience in the prosecution of securities
 class actions and derivative litigation in state and federal trial and
 appellate courts across the country.  The reputation and expertise of this
 firm in shareholder and other class litigation has been repeatedly recognized
 by the courts, which have appointed it to major positions in complex
 securities multi-district and consolidated litigation.  Wolf Haldenstein has
 offices in New York, San Diego, Chicago, Somerset, New Jersey, and West Palm
 Beach, Florida.
 
     If you wish to discuss this action or have any questions, please contact
 Wolf Haldenstein Adler Freeman & Herz LLP at 270 Madison Avenue, New York, New
 York  10016, by telephone at (800) 575-0735 (Fred Taylor Isquith, Esq.,
 Gregory M. Nespole, Esq., Michael Miske, or George Peters), via e-mail at
 classmember@whafh.com or our website at http://www.whafh.com.
 
     All e-mail correspondence should make reference to Red Hat.
 
 

SOURCE Wolf Haldenstein Adler Freeman & Herz LLP
    NEW YORK, April 10 /PRNewswire/ -- Wolf Haldenstein Adler Freeman & Herz
 LLP announces that it filed a class action lawsuit in the United States
 District Court for the Southern District of New York on behalf of purchasers
 of the securities of Red Hat, Inc. ("Red Hat" or the "Company")
 (Nasdaq: RHAT) between August 11, 1999 and May 25, 2000, inclusive (the "Class
 Period"), against defendants Red Hat, Inc., Goldman Sachs & Co., Credit Suisse
 First Boston Corporation, Robert F. Young, Matthew J. Szulik and Marc Ewing.
     A copy of the complaint filed in this action is available from the Court,
 or can be viewed on the Wolf Haldenstein website at http://www.whafh.com.
     The complaint, entitled Jordan v. Red Hat, Inc., et al., 01-CV-3025 (CSH),
 alleges that defendants violated the Securities Act of 1933 and the Securities
 Exchange Act of 1934 by issuing a Registration Statement and Prospectus (the
 "Offering Documents") containing materially false and misleading information
 and by failing to disclose material information.  The Offering Documents,
 which was filed in connection with Red Hat's August 11, 1999 initial public
 offering of 6 million shares of common stock (the "IPO") failed to disclose to
 investors that various underwriters had solicited and received excessive and
 undisclosed commissions from certain investors in connection  with their
 purchases of Red Hat stock.  As alleged in the complaint, the Securities and
 Exchange Commission is investigating underwriting practices in connection with
 several other initial public offerings underwritten by defendants Goldman
 Sachs and Credit Suisse.
     Specifically, the complaint alleges that the Offering Documents was
 materially false and misleading because they failed to disclose, among other
 things,  that: (i) Goldman Sachs and Credit Suisse had solicited and received
 excessive and undisclosed commissions from certain investors in exchange for
 which Goldman Sachs and Credit Suisse allocated to those investors material
 portions of the restricted number of Red Hat shares issued in connection with
 the IPO; and (ii) Goldman Sachs and Credit Suisse had entered into agreements
 with customers whereby Goldman Sachs and Credit Suisse agreed to allocate Red
 Hat shares to those customers in the IPO in exchange for which the customers
 agreed to purchase additional Red Hat shares in the aftermarket at
 pre-determined prices.
     If you purchased Red Hat securities between August 11, 1999 and May 25,
 2000, you may, no later than May 28, 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."  Any application
 to the Court can be made on your behalf by counsel of your choice, or without
 counsel if you so choose.  Your ability to share in any recovery is not,
 however, affected by the decision whether or not to serve as a lead plaintiff.
 
     Wolf Haldenstein has extensive experience in the prosecution of securities
 class actions and derivative litigation in state and federal trial and
 appellate courts across the country.  The reputation and expertise of this
 firm in shareholder and other class litigation has been repeatedly recognized
 by the courts, which have appointed it to major positions in complex
 securities multi-district and consolidated litigation.  Wolf Haldenstein has
 offices in New York, San Diego, Chicago, Somerset, New Jersey, and West Palm
 Beach, Florida.
 
     If you wish to discuss this action or have any questions, please contact
 Wolf Haldenstein Adler Freeman & Herz LLP at 270 Madison Avenue, New York, New
 York  10016, by telephone at (800) 575-0735 (Fred Taylor Isquith, Esq.,
 Gregory M. Nespole, Esq., Michael Miske, or George Peters), via e-mail at
 classmember@whafh.com or our website at http://www.whafh.com.
 
     All e-mail correspondence should make reference to Red Hat.
 
 SOURCE  Wolf Haldenstein Adler Freeman & Herz LLP