Bernstein Litowitz Berger & Grossmann LLP Announces Final Court Approval of $30 Million Settlement Of In re Sykes Enterprises, Inc. Securities Litigation.

Business Editors/Legal Writers

NEW YORK--(BUSINESS WIRE)--March 7, 2003

At a hearing in Tampa, Florida this morning, the Honorable Richard A. Lazzara of the United States District Court for the Middle District of Florida (the "Court") granted final approval of the settlement of In re Sykes Enterprises, Inc. Securities Litigation ("Sykes"), Case No. 8:00-CV-212-T-26F.

The Court approved the settlement of the above Action for the principal amount of Thirty Million dollars ($30,000,000) cash, plus accrued interest as "fair, reasonable and adequate," under governing federal law. The Court also approved the application of Plaintiffs' counsel for the payment of attorneys' fees and reimbursement of expenses as reasonable.

This securities fraud class action was filed on behalf of all persons who purchased the common stock of Sykes Enterprises, Inc. from July 27, 1998 through and including September 18, 2000. Plaintiffs alleged that Sykes violated sections 10(b) and 20(a) of the Securities Exchange Act of 1934 by improperly booking millions of dollars in revenues in the second quarter of 1998, and in the second and third quarters of 1999 in violation of Generally Accepted Accounting Principles, and issuing inflated financial results in order to continue to meet or exceed the consensus expectations of Wall Street analysts, and in order to use artificially inflated stock as currency for acquisitions. On February 7 and on September 18, 2000, Sykes announced that it would have to restate previously reported financial results for the second and third quarters of 1999 and the year-ended 1998, as a result of these improper accounting practices. In the wake of the February and September 2000 disclosures of restatements, the common stock of Sykes, which had traded as high as $52.25 per share during the Class Period, fell to a low of less than $4.50 per share.

On September 14, 2000, The Court appointed the Louisiana State Employees' Retirement System and the Florida State Board of Administration as Co-Lead Plaintiffs for the class and the law firms of Bernstein Litowitz Berger & Grossmann LLP and Berman DeValerio Pease Tabacco Burt & Pucillo as Co-Lead Counsel for the class. In approving the settlement, which the Court described as exceeding the "fair, reasonable and adequate" standard in light of its considerable size, the Court specifically cited the positive leadership which the two public pension funds provided in the prosecution of this important case.

Bernstein Litowitz Berger & Grossmann LLP partner Sean Coffey, who handled the case on behalf of the firm, said, "this case was a textbook example of how public pension funds can be proactive in vindicating the rights of their beneficiaries and other victims of financial chicanery, and achieve great results on behalf of defrauded investors." Mr. Coffey is the lead attorney prosecuting the WorldCom securities class action litigation, the largest securities fraud in history, which is pending in federal court in the Southern District of New York.

IF YOU ARE A MEMBER OF THE CLASS DESCRIBED ABOVE, YOUR RIGHTS WILL BE AFFECTED AND YOU MAY BE ENTITLED TO SHARE IN THE SETTLEMENT FUND. If you have not yet received the full printed Notice of Proposed Settlement of Class Action, Settlement Fairness Hearing, and Right to Share in Settlement Fund and a Proof of Claim form, you may obtain a copy by identifying yourself as a member of the Class and contacting: Claims Administrator, Sykes Enterprises, Inc. Securities Litigation, c/o Berdon LLP, P.O. Box 9014, Jericho, NY 11753- 8914; Telephone: [phone]; Fax: [phone]; Website: www.berdonllp.com/claims.

To participate in the Settlement, you must file a Proof of Claim no later than April 9, 2003. IF YOU ARE A CLASS MEMBER AND DO NOT FILE A PROPER, TIMELY PROOF OF CLAIM, YOU WILL NOT SHARE IN THE SETTLEMENT, BUT YOU WILL BE BOUND BY THE FINAL ORDER AND JUDGMENT OF THE COURT.

PLEASE DO NOT CALL OR WRITE THE COURT OR THE OFFICE OF THE CLERK OF THE COURT FOR INFORMATION OR ADVICE.

All inquiries other than requests for the Notice and Proof of Claim should be made in writing, addressed to Plaintiffs' Co-Lead Counsel: John P. Coffey, Esq. and Gerald Silk, Esq., Bernstein Litowitz Berger & Grossmann LLP, 1285 Avenue of the Americas, New York, NY 10019, Telephone: [phone]; and Michael J. Pucillo, Esq. and Wendy H. Zoberman, Esq., Berman DeValerio Pease Tabacco Burt & Pucillo, 515 North Flagler Drive, Suite 1701, West Palm Beach, FL 33401, Telephone: [phone].