Coughlin Stoia Geller Rudman & Robbins LLP Files Class Action Suit against PharmaNet Development Group, Inc.

  
    
  
  
    
      Coughlin Stoia Geller Rudman & Robbins LLP (“Coughlin Stoia”) (http://www.csgrr.com/cases/pharmanet/) 
      today announced that a class action has been commenced in the United 
      States District Court for the District of New Jersey on behalf of 
      purchasers of PharmaNet Development Group, Inc. (“PharmaNet” or the 
      “Company”) (Nasdaq:PDGI) common stock during the period between November 
      1, 2007 and April 30, 2008 (the “Class Period”).
    
    
      If you wish to serve as lead plaintiff, you must move the Court no later 
      than 60 days from today. If you wish to discuss this action or have any 
      questions concerning this notice or your rights or interests, please 
      contact plaintiff’s counsel, Samuel H. Rudman or David A. Rosenfeld of 
      Coughlin Stoia at 800/449-4900 or 619/231-1058, or via e-mail at [e-mail]. 
      If you are a member of this class, you can view a copy of the complaint 
      as filed or join this class action online at http://www.csgrr.com/cases/pharmanet/. 
      Any member of the putative class may move the Court to serve as lead 
      plaintiff through counsel of their choice, or may choose to do nothing 
      and remain an absent class member.
    
    
      The complaint charges PharmaNet and certain of its officers and 
      directors with violations of the Securities Exchange Act of 1934. 
      PharmaNet is a drug development services company that maintains offices 
      and facilities in North America, Europe, South America, Asia, Africa and 
      Australia and has clients in the branded pharmaceutical, biotechnology, 
      generic drug and medical device industries.
    
    
      The complaint alleges that the representations contained in PharmaNet’s 
      press releases, SEC filings, conference calls and presentations during 
      the Class Period were materially false and misleading when made because 
      they failed to disclose that: (i) the Company’s backlog contained 
      numerous contracts which were likely to be cancelled; (ii) the Company 
      had ramped up expenses in order to perform contracts even though there 
      was a substantial likelihood that the contracts would be cancelled; 
      (iii) the Company was entering into contracts with highly risky 
      biotechnology and pharmaceutical companies where the risk that the 
      contract would be cancelled was greatly increased; and (iv) given the 
      above factors, defendants lacked a reasonable basis for their positive 
      statements about the Company, its business, backlog and earnings 
      guidance.
    
    
      According to the complaint, on April 30, 2008, PharmaNet issued a press 
      release announcing its financial results for the first quarter of 2008. 
      For the quarter, the Company reported direct revenue of $86.8 million 
      and backlog of $482.9 million. In response to the announcement, the 
      price of PharmaNet stock dropped from $23.86 per share to $17.10 per 
      share on extremely heavy trading volume.
    
    
      Plaintiff seeks to recover damages on behalf of all purchasers of 
      PharmaNet common stock during the Class Period (the “Class”). The 
      plaintiff is represented by Coughlin Stoia, which has expertise in 
      prosecuting investor class actions and extensive experience in actions 
      involving financial fraud.
    
    
      Coughlin Stoia, a 190-lawyer firm with offices in San Diego, San 
      Francisco, Los Angeles, New York, Boca Raton, Washington, D.C., 
      Philadelphia and Atlanta, is active in major litigations pending in 
      federal and state courts throughout the United States and has taken a 
      leading role in many important actions on behalf of defrauded investors, 
      consumers, and companies, as well as victims of human rights violations. 
      The Coughlin Stoia Web site (http://www.csgrr.com) 
      has more information about the firm.