Notice to all Cisco Employee Stock Option Plan Participants from the Law Firm of Klayman & Toskes, P.A. -- CSCO


SAN FRANCISCO, May 24, 2002 (PRIMEZONE) -- Klayman & Toskes, P.A., a nationally known law firm who has substantial experience in prosecuting securities lawsuits on behalf of aggrieved investors, is pursuing an aggressive investigation on behalf of Cisco, Inc. (Nasdaq:CSCO) stock option plan participants. The law firm has filed suit on behalf of Cisco employees and announced that they are preparing to file additional claims against Merrill Lynch, Pierce, Fenner, & Smith, Inc., Salomon Smith Barney, Inc., Morgan Stanley Dean Witter, Inc. and UBS PaineWebber, Inc.

The suits allege that these prominent brokerage houses failed to recommend to Cisco employee stock option plan participants hedging strategies to protect their concentrated position in Cisco as a result of the exercise of their stock options, many with the use of margin. Claims have been brought by Klayman & Toskes, P.A. against these firms for mismanagement of their clients' portfolios given the fact that there were options strategies available at the time of exercise that would have protected the value of the margined, concentrated portfolio, known as a "zero cost" collar. K&T represents numerous employee stock option plan participants who have lost tens of millions of dollars.

The sole purpose of this release is to investigate, on behalf of our clients, sales practice violations of licensed brokers at these investment firms. The firm is investigating securities violations including the misuse of margin, the misuse of stock option plans, failure to supervise, unsuitability claims, misrepresentation and material omissions of fact, unauthorized transactions, and excessive trading/churning of customers' accounts. We would greatly appreciate any information from customers concerning the method or process used by these brokerage firms with regard to clients' stock options and the handling of their accounts.

Klayman & Toskes, P.A. has offices in California, Florida and New York and represents investors throughout the nation. If you wish to discuss this announcement, have done business with any of these brokerage firms with regard to the execution of stock options, and feel you have been a victim of stockbroker misconduct or have information relevant to our lawsuits, please contact Lawrence L. Klayman, Esquire of Klayman & Toskes, P.A., 888-997-9956 or visit us on the web at www.nasd-law.com.

More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca.



            

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