SOURCE: Izard Nobel LLP

August 03, 2009 15:31 ET

Izard Nobel LLP Announces Class Action Lawsuit Against Skilled Healthcare Group, Inc.

HARTFORD, CT--(Marketwire - August 3, 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 Central District of California on behalf of those who purchased the common stock of Skilled Healthcare Group, Inc. ("Skilled Healthcare" or the "Company") (NYSE: SKH) between May 14, 2007 and June 9, 2009, inclusive (the "Class Period"). Also included are those who purchased common stock pursuant and/or traceable to the Registration Statement and Prospectus ("Prospectus") issued in connection with the Company's Initial Public Offering ("IPO").

The Complaint charges that Skilled Healthcare and certain of its officers and directors violated federal securities laws by misrepresenting the true amount of its income in its IPO Prospectus and in other SEC filings and public communications. In an announcement dated June 9, 2009, Skilled Healthcare announced that the Company's prior financial statements for the annual and quarterly periods between January 1, 2006 and March 31, 2009 should no longer be relied upon and that the Company expected to restate those financial statements. According to the announcement, Skilled Healthcare discovered errors relating to its accounting for reserves on its accounts receivable. The Company estimated that the cumulative charges against after-tax earnings in the aggregate would be between $8 million and $9 million.

If you are a member of the class, you may, no later than September 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: www.izardnobel.com/skilledhealthcare/, or contact Izard Nobel LLP toll-free at (800) 797-5499, or by e-mail: firm@izardnobel.com. For more information about class action cases in general, please visit our website: www.izardnobel.com.

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