Star Gas Partners Class Action Dismissed

Shareholders tried to file several class action lawsuits against the company alleging violations of the Securities Act of 1933 and the Securities Exchange Act of 1934. On October 18, 2004 the trading price of Star Gas common units dropped after an announcement that it was suspending the quarterly distributions to its common unit holders and might have to restructure its debts under the protection of the bankruptcy courts due to record heating oil prices and customer attrition. The class action complaint alleged numerous statements by Star Gas made in SEC filings, press releases and conference calls were fraudulent. The United States District Court for the District of Connecticut granted the motions of Star Gas, its general partner, former officers, directors and underwriters to dismiss with prejudice the consolidated class action. The District Judge held that the plaintiffs failed to allege that Star Gas made any false or misleading statements. (Aug-22-06) [BUSINESS WIRE]