Berman DeValerio & Pease Announces Class Action Against Guess? Inc.

Business Editors & Legal Writers

LOS ANGELES--(BUSINESS WIRE)--Feb. 21, 2001

A shareholder class action charging Guess? Inc. (NYSE: GES) with stock fraud is pending before a federal judge, the law firm of Berman DeValerio & Pease LLP said today.

The lawsuit was filed February 1 in the United States District Court for the Central District of California. It seeks damages for violations of federal securities laws on behalf of all investors who bought Guess stock between February 14, 2000 and November 9, 2000 (the "Class Period"). To review the complaint and learn more about becoming a lead plaintiff, visit our Website, www.bermanesq.com.

Berman DeValerio & Pease, which has offices in Boston and San Francisco, has represented defrauded investors in class actions for nearly two decades.

The complaint accuses Guess and several of its top officers of inflating its stock price by filing false and misleading financial statements for the first two quarters of 2000. The defendants failed to follow standard accounting practices, particularly in the way they reported inventory, which resulted in overstated earnings for those quarters. On November 9, 2000, Guess announced a decline in profits for the third quarter of 2000, citing inventory issues. Its stock price quickly plunged as much as 31% the following day.

Then, on January 26, 2001, Guess issued a press release announcing that it would restate its earnings for the first three quarters of fiscal 2000 because "(a) certain costs that should have been expensed were capitalized and (b) certain unrecorded inventory accruals, which were triggered by the relocation of the Company's distribution facility from Los Angeles, California to Louisville, Kentucky."

If you purchased Guess common stock during the period February 14, 2000 and November 9, 2000, you may wish to contact the following attorneys at Berman DeValerio & Pease to discuss your rights and interests:

       Sara Davis, Esq.             Donica Patel, Esq.
       Jeffrey Block, Esq.          Joseph J. Tabacco Jr., Esq.
       Berman DeValerio & Pease     Berman DeValerio Pease & Tabacco
       One Liberty Square           425 California Street, Suite 2025
       Boston, MA 02109             San Francisco, CA 94104
       [phone]               [phone]
       [e-mail]

You may also visit us at our website at www.bermanesq.com.

If you wish to apply to be lead plaintiff in this action, a motion must be filed on your behalf with the court no later than April 2, 2001. You may contact the attorneys at Berman DeValerio & Pease to discuss your rights regarding the appointment of lead plaintiff and your interest in the class action. To be a member of the class, however, you need not take any action at this time and you may retain counsel of your own choice.

With offices in Boston and San Francisco, Berman DeValerio & Pease LLP has prosecuted shareholder class actions since 1982, recovering more than $1 billion for investors. The firm has acted as lead counsel in numerous lawsuits involving violations of federal securities laws. It has successfully litigated these actions, and has been singled out for its excellence by many courts. The firm prides itself on its responsiveness to shareholders and their needs in each case.