Berger & Montague, P.C. Announces Class Action Lawsuit Against FirstEnergy Corp.

Business Editors/Legal Writers

PHILADELPHIA--(BUSINESS WIRE)--Sept. 2, 2003

The law firm of Berger & Montague, P.C. announces that a class action lawsuit was filed on August 21, 2003, on behalf of purchasers of the common stock of FirstEnergy, Corp. (NYSE:FE) ("FirstEnergy" or the "company") between April 24, 2002 and August 5, 2003, inclusive, (the "Class Period"), seeking to pursue remedies under the Securities Exchange Act of 1934 (the "Exchange Act"). This case was filed in the United States District Court for the Northern District of Ohio.

The complaint charges FirstEnergy and certain of its officers and directors 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 defendants issued a series of material misrepresentations to the market during the Class Period, thereby artificially inflating the price of FirstEnergy's common stock. The Complaint alleges that these statements were materially false and misleading because they failed to disclose and misrepresented the following adverse facts, among others:(1) that the Company materially overstated its earnings, revenues, net income, and earnings per share; (2) that the Company had improperly accounted for costs incurred in connection with the deregulation of certain of its businesses by employing an inappropriately long amortization schedule, thereby understating costs and materially and artificially inflating earnings during the Class Period; (3) that the Company had materially overvalued certain leased power generation facilities that were carried as assets on the Company's balance sheet; (4) that the Company lacked adequate internal controls and was therefore unable to ascertain the true financial condition of the Company; and (5) that as a result, the value of the Company's net income and financial results were materially overstated at all relevant times. On August 5, 2003, the Company reported that it would have to restate its financial results for fiscal year 2002 and the first quarter of 2003 due to its improper accounting for its annual amortization expenses and for above-market leases. News of this shocked the market. Shares of FirstEnergy fell 8.5 percent to close at $31.33 per share on extremely heaving trading volume.

If you bought the common stock of FirstEnergy between April 24, 2002 and August 5, 2003 and sustained damages, you may, no later than October 10, 2003, request that the Court appoint you as lead plaintiff. 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.

The law firm of Berger & Montague, P.C. has over 50 attorneys, all of whom represent plaintiffs in complex litigation. The Berger firm has extensive experience representing plaintiffs in class action securities litigation and has played lead roles in major cases over the past 25 years which have resulted in recoveries of several billion dollars to investors. The firm has recently represented investors as lead counsel in actions against Rite Aid, Sotheby's, Waste Management, Inc., Sunbeam, Boston Chicken and IKON Office Solutions, Inc. The standing of Berger & Montague, P.C. in successfully conducting major securities and antitrust litigation has been recognized by numerous courts. Most recently, Judge Stewart Dalzell stated:

    " ... the skill and efficiency of the attorney involved ... (was)
     extraordinarily deft and efficient in handling this most
     complex matter."

     "...they were at least eighteen months ahead of the United
      States Department of Justice in ferreting out the conduct
      that ultimately resulted in the write-down of over $1.6
      billion in previously reported Rite Aid earnings.  Their
      attention to detail was such that when Rite Aid's financial
      concern lead to its willingness to consider renegotiating
      the non-cash portion of the Rite Aid 1 settlement, counsel
      aided by investment advisors...ultimately monetized the
      entire settlement and gained the class interest of
      $14,435,104 when interest rates were the lowest they
      have been in over forty years.  In short, it would be hard
      to equal the skill class counsel demonstrated here."

      In Re: Rite Aid Securities Litigation, 2003 U.S. Dist. Lexis
      9459 (EDPA) (Settled in 2003 for in total for $334 million, $125
      million against the accountants, the second largest settlement
      against an auditing firm)

If you purchased FE common stock during the Class Period, or have any questions concerning this notice or your rights with respect to this matter, please contact:

      Sherrie R. Savett, Esquire
      Glen L. Abramson, Esquire
      Kimberly A. Walker, Investor Relations Manager
      Berger & Montague, P.C.
      1622 Locust Street
      Philadelphia, PA 19103
      [phone]
      [phone] - toll free
      [phone] - fax
      [e-mail]
      www.bergermontgue.com