A lead counsel has been appointed in the class action suit against Charles Schwab Corp. involving Schwab YieldPlus Funds Investor Shares and Schwab YieldPlus Funds Select Shares. The five lead plaintiffs in the suit have picked Hagens Berman Sobol Shapiro. It was the first firm to file suit against Schwab on March 18. Several other law firms have filed suit against Schwab for losses in the funds as well.

Company Press Release

SAN FRANCISCO, Aug. 18 /PRNewswire/ -- Today United States District Judge William Alsup appointed Hagens Berman Sobol Shapiro lead counsel in the class-action litigation against Charles Schwab Corporation (NASDAQ:SCHW) involving Schwab YieldPlus Funds Investor Shares (SWYSX) and Schwab YieldPlus Funds Select Shares (SWYPX).

Hagens Berman Sobol Shapiro filed the first class-action suit against Charles Schwab on March 18, 2008, alleging that Schwab deceived investors about the underlying risk in the funds. The funds were marketed as cash alternative when, in fact, the funds were highly speculative including risky mortgage-related structured debt, the suit contends.

After Hagens Berman Sobol Shapiro filed the first suit, many other proposed class actions were filed and subsequently consolidated by the federal courts in the United States District Court for the Northern District of California.

On July 3, 2008, Judge Alsup appointed five members of the YieldPlus Investor Group as the lead plaintiffs and instructed them to interview and choose counsel. On August 14, 2008 the YieldPlus Investor Group submitted the court their decision to retain Hagens Berman Sobol Shapiro LLP. Today, the Court approved that decision.

"We are pleased that the YieldPlus Investor Group selected our firm as the lead counsel for the class action, and that the court approved that decision," said Reed Kathrein, a partner in Hagens Berman Sobol Shapiro. "The court's ratification of the group's selection means investors and witnesses now know where to get information about the suit, and to whom they should provide vital information that will allow this suit to be prosecuted effectively."

Steve Berman, managing partner of the firm, said the firm has heard from thousands of investors, some of which lost large portions of their retirement savings. "Hagens Berman has been in close contact with many of the investors, and we know first-hand how devastating Schwab's actions have been for them. We look forward to vigorously representing their interests in court."

To participate in this lawsuit as a member of the class, investors do not need to take any action at this time. If the Court certifies the case as a class action, a decision which will not occur until after several months, a notice will be sent out to investors in these funds. In the meantime, for more information about the case, pleadings and orders, visit http://www.hbsslaw.com/schw. If an investor or witness has information to share that would help in the prosecution of this matter an email should be sent to info@hbsslaw.com.

About Hagens Berman Sobol Shapiro

Hagens Berman Sobol Shapiro (HBSS) is a law firm with offices in Seattle, Chicago, Cambridge, Los Angeles, Phoenix, New York and San Francisco. Named to the Plaintiffs' Hot List by National Law Journal, HBSS has developed a nationally recognized practice in class-action litigation. The firm has served as co-lead counsel in litigation to recover losses from Enron employees' retirement funds and represented Washington and 12 other states in lawsuits against the tobacco industry that resulted in the largest settlement in the history of litigation. The firm also served as counsel in several other high-profile cases including the Washington Public Power Supply Securities litigation, which resulted in a settlement of more than $850 million, and the $92.5 million settlement of The Boeing Company litigation. HBSS also served as co-lead counsel in a VISA/MasterCard litigation which resulted in excess of a $3 billion settlement. Other notable cases include litigation involving the TAP Pharmaceutical's Lupron litigation; GlaxoSmithKline's Relafen litigation; Exxon Valdez oil spill; Louisiana Pacific Siding; Nordstrom; and Boston Chicken.

Edited by: Erin Kello

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