Judge Approves Settlement of Derivative Lawsuit for Jennifer
Convertibles, Inc.
WOODBURY, N.Y., Feb. 8 /PRNewswire-FirstCall/ -- Jennifer Convertibles, Inc. (AMEX:JEN) announced today that Judge Hurley of the Eastern District Court in
Hauppauge, Long Island has approved the settlement of the derivative lawsuit
which began in 1994. On July 6, 2001, a related private company and Jennifer
entered into a series of agreements designed to settle the derivative action
among such private company, certain of Jennifer's current and former officers
and directors, former accounting firms and Jennifer. The Company has been
operating under an Interim Operating Agreement designed to implement certain of
the provisions prior to court approval.
Harley J. Greenfield, Chief Executive of Jennifer Convertibles, Inc. said, "We
are pleased to have finally settled and received court approval of the last
piece of litigation which began in 1994. With the class action and derivative
suits finally behind us, we can now turn our full attention to building a
profitable, growing business." Jennifer Convertibles is the owner and licensor of the largest group of sofabed
specialty retail stores in the United States, with 192 Jennifer Convertibles(R)
stores and 16 Jennifer Leather stores. As of January 30, 2005, the Company
owned 133 stores and licensed 75 (including 24 owned and operating stores by a
private company on a royalty free basis.) Statements in this press release other than the statements of historical fact
are "forward-looking statements." Such statements are subject to certain risks
and uncertainties, including changes in retail demand, vendor performance and
other risk factors identified from time to time in the Company's filings with
the Securities and Exchange Commission that could cause actual results to
differ materially from any forward-looking statements. These forward-looking
statements represent the Company's judgment as of the date of the release. The
Company disclaims, however, any interest or obligations to update these
forward-looking statements. DATASOURCE: Jennifer Convertibles, Inc.
CONTACT: Donald Radcliffe, Radcliffe & Associates, +1-212-605-0201, for Jennifer Convertibles, Inc.
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