SOURCE: Saxena White P.A.

November 26, 2008 17:47 ET

Saxena White P.A. Has Filed a Securities Fraud Class Action Against Aracruz Celulose S.A.

BOCA RATON, FL--(Marketwire - November 26, 2008) - Notice is hereby given that Saxena White P.A. has filed suit on behalf of shareholders of Aracruz Celulose S.A. ("Aracruz" or the "Company") (NYSE: ARA) (SAO PAULO: ARCZ6) in the United States District Court for the Southern District of Florida.

The complaint seeks damages for violations of federal securities laws on behalf of all investors who purchased Aracruz Celulose S.A. American Depository Receipts (ADR's) and/or common stock between April 7, 2008 through October 2, 2008, inclusive (the "Class Period"). Aracruz is a major Brazilian manufacturer of forest products, which they market to manufacturers of consumer paper products around the world.

During the Class Period, Aracruz entered into undisclosed currency derivative contracts to purportedly hedge against the Company's U.S. dollar exposure. The Company characterized the use of these contracts as protection against foreign interest rate volatility and assured investors that this type of trading did not represent "a risk from an economic and financial standpoint." However, these contracts violated Company policy in that they were far larger than necessary to hedge normal business operations. As a result of Aracruz's clandestine and speculative currency wagers, credit rating agencies downgraded Aracruz, the Company's CFO resigned, and Aracruz's stock suffered a severe decline, plummeting to the lowest levels in 14 years. On October 3, 2008, the price of the ADR's traded on the New York Stock Exchange closed at $23.40, down $7.84 per share, a decline of 25%. The Company's common stock suffered similar drastic declines on the Sao Paulo Bovespa.

You may obtain a copy of the complaint from the Court, by contacting Saxena White P.A. through its website www.saxenawhite.com, by emailing jwhite@saxenawhite.com or gstone@saxenawhite.com, or by calling (561) 394-3399.

If you acquired the American Depository Receipts and/or common stock of Aracruz Celulose S.A. between April 7, 2008 through October 2, 2008, inclusive, you may wish to contact Joe White or Greg Stone at Saxena White P.A. to discuss your rights and interests:

If you wish to apply to be the lead plaintiff in this action, a motion on your behalf must be filed with the court no later than January 26, 2009. You may contact Saxena White P.A. to discuss your rights regarding the appointment of lead plaintiff and your interest in the class action. Please note that you may also retain counsel of your choice and need not take any action at this time to be a class member.

Saxena White P.A, which has offices in Boca Raton and Boston, specializes in prosecuting securities fraud and complex class actions on behalf of institutions and individuals. Currently serving as lead counsel in numerous securities fraud class actions nationwide, the firm has recovered hundreds of millions of dollars on behalf of injured investors and is active in major litigation pending in federal and state courts throughout the United States.

Contact Information