CACSE Carrier Access (MM)

/C O R R E C T I O N -- Schatz & Nobel, P.C./ In the news release, Schatz & Nobel, P.C. Files Class Action Lawsuit Against Carrier Access Corporation (Nasdaq: CACSE), issued earlier today by Schatz & Nobel, P.C. over PR Newswire, we are advised by the law firm that corrections have been made to the headline, fourth and fifth paragraphs. Complete, corrected release follows: HARTFORD, Conn., June 3 /PRNewswire/ -- The law firm of Schatz & Nobel, P.C., which has significant experience representing investors in prosecuting claims of securities fraud, announces that a lawsuit has been filed seeking class action status in the United States District Court for the District of Colorado on behalf of all persons who purchased the publicly traded securities of Carrier Access Corporation (NASDAQ:CACSE) ("Carrier Access," or the "Company") between October 21, 2003 and May 20, 2005 (the "Class Period"). Also included in this case are all shareholders who acquired Carrier Access stock as Paragon Networks shareholders or in the January 29, 2004 Carrier Access public offering. The Complaint charges Carrier Access, Roger L. Koenig, Nancy G. Pierce, and Timothy R. Anderson with violations of the Securities Exchange Act of 1934. The Complaint alleges that the defendants made materially false and misleading statements during the Class Period concerning the Company's financial results and business prospects. This allowed the defendants to (i) acquire Paragon Networks using inflated Company stock, (ii) sell 6 million shares of the Company to the public in January 2004, raising $78 million, (iii) obtain listing on the Russell 3000 Index, and (iv) enable the Individual Defendants to sell nearly 1.3 million personally held shares in the Company, reaping nearly $15.8 million. On May 5, 2005, Carrier Access announced that it received a Nasdaq Staff Determination letter, indicating that the Company's stock was subject to delisting from the Nasdaq. On May 20, 2005, Carrier Access announced that it was reviewing revenue and cost recognition issues. The press release stated that "certain revenues and direct costs have been recorded in incorrect periods. The amounts that have been quantified to date are significant..." On this news, Carrier Access's share price fell to a close of $4.61 per share on May 20, 2005. If you are a member of the class, you may, no later than 60 days from June 2, 2005, 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, including decisions concerning settlement. The securities laws require the Court to consider the class member(s) with the largest financial interest as presumptively the most adequate lead plaintiff(s). For more information about the case, its claims, and your rights, please contact Schatz & Nobel toll-free at (800) 797-5499, or by e-mail at . To view a copy of the Complaint initiating the class action, which was not filed by Schatz & Nobel, or for more information about this case, class action cases in general, or Schatz & Nobel, please visit our website: http://www.snlaw.net/. CONTACT: Wayne T. Boulton or Nancy Kulesa Tel.: (800) 797-5499 Website: http://www.snlaw.net/ e-mail: PRNewswire -- June 3 DATASOURCE: Schatz & Nobel, P.C. Web site: http://www.snlaw.net/

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