Shareholder Class Action Filed Against Cross Country Healthcare, Inc. By The Law Firm Of Schiffrin & Barroway, LLP

BALA CYNWYD, Pa., Aug. 24 /PRNewswire/ -- The following statement was issued today by the law firm of Schiffrin & Barroway, LLP:

Notice is hereby given that a class action lawsuit was filed in the United States District Court for the Southern District of Florida on behalf of all securities purchasers of Cross Country Healthcare, Inc. ("Cross Country" and the "Company") from October 25, 2001 through August 6, 2002 inclusive (the "Class Period").

If you wish to discuss this action or have any questions concerning this notice or your rights or interests with respect to these matters, please contact Schiffrin & Barroway, LLP (Marc A. Topaz, Esq. or Darren J. Check, Esq.) toll free at 1-888-299-7706 or 1-610-667-7706, or via e-mail at

The complaint charges Cross Country, Joseph Boshart, and Emil Hensel with violations of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder. More specifically, the Complaint alleges that the Company failed to disclose and misrepresented the following material adverse facts which were known to defendants or recklessly disregarded by them: (1) that defendants knew or recklessly disregarded the fact that fewer of the Company's nurses were actually being hired by hospitals; (2) that defendants knew or recklessly disregarded the fact that demand for temporary nurses was no longer being created by the nursing shortage, which the Company had previously touted as creating a favorable business environment; (3) that defendants were having problems with staffing orders being received from hospitals and then abruptly canceled; and (4) that as a result of the above, the defendants lacked a reasonable basis for their positive statements about the Company.

On August 6, 2002, Cross Country reported the decline in demand and a drop in the number of the Company's full-time nurses. News of this shocked the market. Shares of Cross Country fell, on August 7, 2002, $11.85 per share, or 45.25 percent, to close at $14.34 per share on unusually high trading volume.

Plaintiff seeks to recover damages on behalf of class members and is represented by the law firm of Schiffrin & Barroway, which prosecutes class actions in both state and federal courts throughout the country. Schiffrin & Barroway is a driving force behind corporate governance reform, and has recovered in excess of a billion dollars on behalf of institutional and high net worth individual investors. For more information about Schiffrin & Barroway, or to sign up to participate in this action online, please visit

If you are a member of the class described above, you may, not later than October 5, 2004 move the Court to serve as lead plaintiff of the class, if you so choose. A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member's claim is typical of the claims of other class members, and that the class member will adequately represent the class. Under certain circumstances, one or more class members may together serve as "lead plaintiff." Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. You may retain Schiffrin & Barroway, or other counsel of your choice, to serve as your counsel in this action.

CONTACT: Schiffrin & Barroway, LLP Marc A. Topaz, Esq. Darren J. Check, Esq. Three Bala Plaza East, Suite 400 Bala Cynwyd, PA 19004 1-888-299-7706 (toll free) or 1-610-667-7706 Or by e-mail at

Schiffrin & Barroway, LLP

CONTACT: Marc A. Topaz, Esq. or Darren J. Check, Esq., Schiffrin &Barroway, LLP, +1-888-299-7706 or +1-610-667-7706,

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