Berger & Montague PC Announces Suit Against Networks Associates Inc. and Some of Its Executives for Securities Violations, Including Insider Trading.

PHILADELPHIA--(BUSINESS WIRE)--April 30, 1999--

Berger & Montague P.C. announces that a class action lawsuit has been filed in the United States District Court for the Northern District of California against Networks Associates Inc. ("Networks Associates" or "NETA") and certain of its officers and directors by IRA and Trust plaintiffs, which seek to recover damages on behalf of a Class of all persons who purchased or otherwise acquired common stock of Networks Associates (NASDAQ:NETA) between Jan. 20, 1998 and April 19, 1999, inclusive (the "Class Period").

Excluded from the Class are NETA and its affiliates, NETA's managers, officers, and directors, and immediate family members of the individual defendants, and of NETA's managers, officers, and directors.

The complaint charges that during the Class Period the defendants, including NETA, violated the federal securities laws by misrepresenting and/or failing to disclose material information regarding Networks Associates' financial results and business prospects, giving the false impression that the Company's finances were accurately reported, that its business was healthy, its prospects good, and that it would earn in the range of $2.12 per share in 1999. These false statements caused the price of the Company's stock to be artificially inflated during the entire Class Period to levels as high as $67-11/16 per share and consistently above $30.

The Individual Defendants, all of them senior executive officers of the Company, are also alleged to have taken advantage of such inflated stock prices and their insider knowledge of undisclosed adverse information, by selling almost $33 million of their Networks Associates stock during the Class Period. When Networks Associates belatedly revealed, among other things, that an SEC investigation had uncovered improper accounting practices and that its first quarter 1999 earnings would be substantially less than previously indicated by the defendants and the First Call analyst consensus, the price of Networks Associates shares plummeted, and investors who purchased NETA were damaged thereby. Subsequently, the stock fell precipitously again when full year estimates were sharply reduced by NETA.

If you purchased NETA during the Class Period, i.e., between Jan. 20, 1998 and April 19, 1999, inclusive, and you wish to join this action, you may, no later than June 7, 1999, move the court to serve as a representative plaintiff of the Class.

If you wish to discuss this action or have any questions concerning this notice or your rights with respect to these matters, please contact either of the attorneys representing the above plaintiffs: Merrill G. Davidoff and Jay Robert Stiefel, Esquires, of Berger & Montague, P.C., toll-free at 888/891-2289, or via e-mail at [e-mail].

Berger & Montague, P.C. has had over 28 years of experience prosecuting securities class actions on behalf of investors. Recognized by courts throughout the country for its expertise in complex and class action litigation, the firm, which presently numbers over fifty attorneys, has played lead roles in major cases, which have netted investors recoveries in excess of two billion dollars.

Berger & Montague, P.C., is currently representing investors in securities actions against Advanced Micro Devices (AMD), BMC Software (BMCS), Compaq Computer (CPQ), Orbital Sciences (ORB), PathoGenesis Corp. (PGNS), Rite-Aid (RAD), Software A.G. (AGS), TCC Industries (NYSE:TEC; OTCBB: TELC), and Total Renal Care (TRL), among others.

For more information about Berger & Montague, P.C., please visit its home page at http://home.bm.net or telephone toll-free at 888/891-2289 or e-mail at [e-mail].