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Kahn Swick & Foti, LLC and Partner Former Attorney General of Louisiana Announce Investigation into FairPoint Communications, I

^{Published on 2011-05-17 15:55:33 - Market Wire}
 

NEW ORLEANS--([ BUSINESS WIRE ])--The law firm of Kahn Swick & Foti, LLC (aKSFa) and KSF partner, former Louisiana Attorney General Charles C. Foti, Jr., announce the commencement of an investigation into FairPoint Communications, Inc. ("FairPoint" or the "Company") (Nasdaq:FRP) to determine whether it has violated federal securities laws by issuing false and misleading statements to its shareholders.

Shares of FairPoint plunged almost 40%, or over $6.00 per share, on May 17, 2011, the day the Company revealed that losses from operations during the first quarter of 2011 grew to $48.8 million, from $31.6 million a year ago, and that revenue fell to $254.8 million, from $270.8 million. This share price collapse followed a previous, approximate 20% share price decline the day after the Company reported, on March 22, 2011, the Non-Reliance on Previously Issued Financial Statements, and a restatement of previously reported financial results for the quarterly periods ended March 31, 2010, June 30, 2010 and September 30, 2010.

If you have information that would assist KSF in its investigation, or would like to discuss your legal rights, you may, without obligation or cost to you, e-mail or call KSF Managing Partner, Lewis Kahn ([ lewis.kahn@ksfcounsel.com ]), toll free 1-877-515-1850, after hours via cell phone 504-301-7900, or KSF Director of Client Relations, Neil Rothstein, Esq. ([ neil.rothstein@ksfcounsel.com ]), toll free at 877-694-9510, or after hours via cell phone 330-860-4092.

About Kahn Swick & Foti, LLC

KSF is a law firm focused on securities class action and shareholder derivative litigation with offices in New York and Louisiana. KSF's lawyers have significant experience litigating complex securities class actions nationwide on behalf of both institutional and individual shareholders. Recent cases include In re Virgin Mobile USA IPO Litigation, 2:07-cv-05619-SDW-MCA (D. N.J.), Co-Lead Counsel, $19.5 million settlement; In re BigBand Networks, Inc. Securities Litigation, 3:07-CV-05101-SBA (C.D. Cal.), Co-Lead Counsel, $11 million settlement; In re U.S. Auto Parts Networks, Inc. Securities Litigation, 2:07-cv-02030-GW-JC (C.D. Cal.), Lead Counsel, $10 million settlement. KSF is also federally court-appointed Co-Lead Counsel in the shareholder derivative cases against BP and Bank of America (Merrill Lynch merger) emanating from their recent multi-billion dollar economic declines.

For more information on KSF, please visit [ www.ksfcounsel.com ].