SOURCE: Brower Piven, A Professional Corporation

August 08, 2008 16:45 ET

Brower Piven Encourages Investors Who Have Losses in Excess of $100,000 From Investment in CarMax, Inc. to Inquire About the Lead Plaintiff Position in Securities Fraud Class Action Lawsuit Before the October 6, 2008 Lead Plaintiff Deadline

BALTIMORE, MD--(Marketwire - August 8, 2008) - Brower Piven, A Professional Corporation announces that a class action lawsuit has been commenced in the United States District Court for the Eastern District of Virginia on behalf of purchasers of the common stock of CarMax, Inc. ("CarMax" or the "Company") (NYSE: KMX) during the period between April 2, 2008 and June 17, 2008, inclusive (the "Class Period").

The complaint charges CarMax and certain of its officers and directors with violations under the Securities Exchange Act of 1934. No class has yet been certified in the above action. Members of the Class will be represented by the lead plaintiff and counsel chosen by the lead plaintiff. If you wish to choose counsel to represent you and the Class, you must apply to be appointed lead plaintiff no later than October 6, 2008 and be selected by the Court. The lead plaintiff will direct the litigation and participate in important decisions including whether to accept a settlement and how much of a settlement to accept for the Class in the action. The lead plaintiff will be selected from among applicants claiming the largest loss from investment in the Company during the Class Period. You may contact Brower Piven (through hoffman@browerpiven.com or 410/332-0030) to answer any questions you may have in that regard.

CarMax is a nationwide retailer of new and used automotive vehicles. According to the complaint, CarMax publicly issued materially false and misleading statements and failed to disclose that CarMax was not positioned to meet its sales or earnings objectives for fiscal 2009; that the Company had completed a refinancing of its warehouse facility which had materially increased the Company's funding costs; and that the Company had no reasonable basis for their revenues and earnings guidance for fiscal 2009. The complaint alleges that after the Company announced its financial results for the quarter ended May 31, 2008, and suspended its financial guidance for the rest of fiscal 2009, the value of the Company's shares declined.

If you have suffered a net loss for all transactions in CarMax common stock during the Class Period, you may obtain additional information about this lawsuit and your ability to become a lead plaintiff by contacting Brower Piven at www.browerpiven.com, by email at hoffman@browerpiven.com, by calling 410-332-0030, or at Brower Piven, A Professional Corporation, The World Trade Center-Baltimore, 401 East Pratt Street, Suite 2525, Baltimore, Maryland 21202. Attorneys at Brower Piven have combined experience litigating securities and class action cases of over 40 years. If you choose to retain counsel, you may retain Brower Piven without financial obligation or cost to you, or you may retain other counsel of your choice. You need not take any action at this time to be a member of the class.

Contact Information

  • CONTACT:
    Charles J. Piven
    Brower Piven, A Professional Corporation
    Baltimore, Maryland
    410/332-0030
    Email Contact