According to a press release dated September 5, 2001, the complaint alleges that on or about April 12, 2000, Nuance commenced an initial public offering of 4,500,000 of its shares of common stock at an offering price of $17 per share (the "Nuance IPO"). In connection therewith, Nuance filed a registration statement, which incorporated a prospectus (the "Prospectus"), with the SEC. The complaint alleges that the Prospectus was materially false and misleading because it failed to disclose, among other things, that: (i) Goldman Sachs and Merrill Lynch had solicited and received excessive and undisclosed commissions from certain investors in exchange for which Goldman Sachs and Merrill Lynch allocated to those investors material portions of the restricted number of Nuance shares issued in connection with the Nuance IPO; and (ii) Goldman Sachs and Merrill Lynch had entered into agreements with customers whereby Goldman Sachs and Merrill Lynch agreed to allocate Nuance shares to those customers in the Nuance IPO in exchange for which the customers agreed to purchase additional Nuance shares in the aftermarket at pre-determined prices. As alleged in the complaint, the SEC is investigating underwriting practices in connection with several other initial public offerings.