According to the Company’s FORM 10-K or the fiscal year ended December 31, 2005, a purported class action lawsuit was filed on September 27, 2000, in the United States District Court for the Southern District of New York on behalf of Dan Gavish, Tricia Fontan and Walter Fontan individually and allegedly on behalf of all others similarly situated who purchased the securities of Revlon, Inc. and REV Holdings Inc. (a Delaware corporation and the predecessor of REV Holdings LLC, a Delaware limited liability company (‘‘REV Holdings’’)) between October 2, 1998 and September 30, 1999 (the ‘‘Second Gavish Action’’). The complaint, amended by the plaintiffs in November 2001, alleged, among other things, that Revlon, Inc., certain of its present and former officers and directors and REV Holdings Inc. violated, among other things, Rule 10b-5 under the Securities Exchange Act of 1934, as amended (the ‘‘Exchange Act’’). On September 29, 2004, the United States District Court for the Southern District of New York dismissed the Second Gavish Action, without prejudice.
As summarized by the docket, on October 18, 2000, the Court entered the Order consolidating this action with In re Revelon, Inc. Securities Litigation, 99 Civ. 10192 (SHS). The plaintiffs filed a motion for reconsideration of this order, and on August 27, 2001, the Court granted the plaintiffs’ motion for reconsideration, and upon reconsideration, the Court denied defendants' request to consolidate this action with 99 civ. 10192. Further, the Court appointed lead plaintiffs and co-lead counsel. On November 9, 2001, the plaintiffs filed an Amended Class Action Complaint.
The original complaint alleges that certain officers and directors of the Company violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 by, among other things, misrepresenting and/or omitting material information concerning Revlon's revenues and results of operations. These statements caused
Revlon's securities prices to be artificially inflated during the Class Period.