SOURCE: Dyer & Berens LLP

Dyer & Berens LLP

May 27, 2011 09:30 ET

Dyer & Berens LLP Files Class Action on Behalf of Investors Who Purchased Community Health Systems, Inc. Common Stock Between 7/27/06 and 4/11/11; Encourages Investors With Significant Losses to Inquire About the Upcoming Investor Deadline (CYH)

DENVER, CO--(Marketwire - May 27, 2011) - Dyer & Berens LLP (www.DyerBerens.com) today announced that it has filed a class action lawsuit in the United States District Court for the Middle District of Tennessee on behalf of investors who purchased or otherwise acquired Community Health Systems, Inc. ("Community Health" or the "Company") (NYSE: CYH) common stock between July 27, 2006 and April 11, 2011, inclusive (the "Class Period").

What actions may I take at this time? If you purchased or acquires shares during the Class Period and wish to serve as a lead plaintiff, you must request appointment by the court no later than July 8, 2011. If you would like to discuss this action, the lead plaintiff process, or have any questions concerning this notice, please contact plaintiff's counsel, Jeffrey A. Berens, Esq. at (888) 300-3362 x302 or via email at jeff@dyerberens.com. Any member of the putative class may request a lead plaintiff appointment through counsel of its choice or may choose to do nothing and remain an absent class member.

What are the allegations in the complaint? The complaint alleges that, throughout the Class Period, defendants' public statements about Community Health were materially false and misleading because they failed to disclose material adverse facts including: (a) the Company's growth statistics, revenues, and profits were inflated as a result of its improper admissions procedures designed to overbill Medicare; (b) because Community Health's financial results were artificially inflated, the potential synergies arising from the Tenet Healthcare acquisition were much less compelling than represented; and (c) as a result, defendants also knew that their forecasted profit and revenue numbers were unattainable and lacked a reasonable basis when made. Based upon the foregoing, the complaint charges Community Health and certain of the Company's officers with violations of the Securities Exchange Act of 1934.

About Dyer & Berens LLP. The plaintiff is represented by Dyer & Berens LLP, which has expertise in prosecuting investor class actions involving financial fraud. The firm's extensive experience in securities litigation, particularly in cases brought under the Private Securities Litigation Reform Act, has contributed to the recovery of hundreds of millions of dollars for aggrieved investors.

Contact Information

  • Contact:

    Jeffrey A. Berens
    Dyer & Berens LLP
    303 East 17th Avenue, Suite 300
    Denver, CO 80203
    Tel: (888) 300-3362 x302
    Email: Email Contact
    Website: www.DyerBerens.com