Schatz & Nobel, P.C. Announces Class Action Lawsuit Against Central Freight Lines, Inc.

Schatz & Nobel, P.C. Announces Class Action Lawsuit Against
Central Freight Lines, Inc. 


NEW YORK, June 29  /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 seeking class action status has been
filed in the United States District Court for the Western District of Texas on
behalf of all persons who purchased the publicly traded securities of Central
Freight Lines, Inc. (NASDAQ:CENF) ("Central Freight") issued in connection with
or traceable to its December 12, 2003 Initial Public Offering ("IPO").

The Complaint alleges that Central Freight, a regional freight carrier, and
certain of its officers and directors issued materially false statements in the
Prospectus/Registration Statement.  On December 12, 2003, Central Freight
announced that had completed an IPO of 8.5 million shares of stock pursuant to
a Prospectus/Registration Statement. The IPO was priced at $15.00 per share for
total net proceeds of $77.9 million after underwriting discounts and
commissions. In fact, the Prospectus/Registration Statement was materially
false and misleading and failed to disclose, among other things: (i) that the
Company's dynamic resource planning process implementation was going
disastrously; (ii) that the Company's aggressive expansion projects were
negatively affecting the Company's margins; (iii) that the Company's insurance
and claims accrual rate was off because the Company failed to have sufficient
reverses for accident frequency; and (iv) that the Company was experiencing
severe operational issues. As this adverse information was disclosed, the
Company's shares eventually plummeted to $8.55 per share.

If you are a member of the class, you may, no later than August 24, 2004
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 [phone], or by e-mail at .  To view
a copy of the lawsuit initiating the class action, or for more information
about class action cases and Schatz & Nobel, please visit our website:
http://www.snlaw.net/. 

DATASOURCE: Schatz & Nobel, P.C.



CONTACT:  Nancy A. Kulesa of Schatz & Nobel, P.C., 1-800-797-5499, or

 



Web site:  http://www.snlaw.net/ 

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