Praecis Pharmaceuticals Inc. Class Action Dismissed

Washington, DC: (Mar-30-07) Shareholders tried to file a class action lawsuit against the biotechnology company alleging securities fraud. The lawsuit was filed in US District Court alleging Praecis and certain officials committed securities fraud by withholding information from their statements regarding its prostate cancer drug, Plenaxis. Praecis' stock dropped from $6.87 a share in November 2003 to $1.60 in December 2004. Judge George O'Toole dismissed the class and noted that the company's forecasts were perhaps unduly optimistic, but when they did not pan out as expected over the year, that fact was disclosed in varying ways. [BOSTON BUSINESS JOURNAL: PRAECIS DISMISSED]