SOURCE: Izard Nobel LLP

October 28, 2009 18:08 ET

Izard Nobel LLP Announces Class Action Lawsuit Against R.H. Donnelley Corporation

WEST HARTFORD, CT--(Marketwire - October 28, 2009) - 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 Delaware on behalf of purchasers of the securities of R.H. Donnelley Corporation ("R.H. Donnelley" or the "Company") (PINKSHEETS: RHDCQ) between July 26, 2007 and May 28, 2009, inclusive (the "Class Period").

The complaint charges that R.H. Donnelley's directors and officers violated federal securities laws by issuing misleading statements concerning the Company's business and financial results. The complaint further alleges that defendants caused the Company to fail to properly account for its bad debt expense and timely write down its impaired goodwill. As a result of defendants' false and misleading statements, R.H. Donnelley's stock traded at artificially inflated prices during the Class Period, trading as high as $66.67 in July 2007. However, beginning in February 2008, defendants began to acknowledge problems in the Company's operations and with its financial results. On March 12, 2009, R.H. Donnelley announced that it had retained a financial advisor to assist in the evaluation of its capital structure, including various balance sheet restructuring alternatives. Then, on May 29, 2009, R.H. Donnelley filed for bankruptcy. The stock now trades at around six cents per share.

If you are a member of the class, you may, no later than December 22, 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: (800) 797-5499, or by e-mail: For more information about class action cases in general, please visit our website:

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