SOURCE: Izard Nobel LLP

November 21, 2008 18:37 ET

Izard Nobel LLP Announces Class Action Lawsuit Against PharmaNet Development Group, Inc.

HARTFORD, CT--(Marketwire - November 21, 2008) - The law firm of Izard Nobel LLP, which has significant experience representing investors in prosecuting claims of securities fraud, announces that a lawsuit seeking class action status has been filed in the United States District Court for the District of New Jersey on behalf of those who purchased the common stock of PharmaNet Development Group, Inc. ("PharmaNet" or the "Company") (NASDAQ: PDGI) between November 1, 2007 and April 30, 2008, inclusive (the "Class Period").

The Complaint charges that PharmaNet and certain of its officers and directors violated federal securities laws by issuing materially false and misleading statements. Specifically, defendants failed to disclose that: (i) the Company's backlog contained numerous contracts which were likely to be cancelled; (ii) PharmaNet had ramped up expenses in order to perform contracts even though there was a substantial likelihood that the contracts would be cancelled; (iii) the Company was entering into contracts with highly risky biotechnology and pharmaceutical companies where there was increased risk that the contracts would be cancelled; and (iv) given the above factors, defendants lacked a reasonable basis for their positive statements about PharmaNet, its business, backlog and earnings guidance.

On April 30, 2008, PharmaNet issued a press release announcing its financial results for the first quarter of 2008. The Company reported direct revenue of $86.8 million and backlog of $482.9 million. On this news, PharmaNet stock fell from $23.86 to $17.10 per share on May 1, 2008.

If you are a member of the class, you may, no later than January 19, 2009, request that the Court appoint you as lead plaintiff of the class. A lead plaintiff is a class member that acts on behalf of other class members in directing the litigation. Although your ability to share in any recovery is not affected by the decision whether or not to seek appointment as a lead plaintiff, lead plaintiffs make important decisions which could affect the overall recovery for class members.

While Izard Nobel LLP has not filed a lawsuit against the defendants, to view a copy of the Complaint initiating the class action or for more information about the case, and your rights, visit:, or contact Izard Nobel LLP toll-free at (800) 797-5499, or by e-mail: For more information about class action cases in general, please visit our website:

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