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BERNSTEIN LITOWITZ BERGER& GROSSMANN LL P
ALAN SCHULMAN (Bar No 128661)BLAIR A NICHOLAS (Bar No 178428)12544 High Bluff Drive, Suite 15 0San Diego, CA 92130Tel (858) 793-0070Fax (858) 793-032 3
BERNSTEIN LIEBI-IARD & LIFSHITZ, LLPJEFFREY M HABE RTIMOTHY MACFALLDANIELLE MAZZINI-DALY10 East 40th StreetNew York, NY 10016Tel (212) 779-1414Fax (212) 779-321 8
Co-Lead Counsel for Lead PlaintiffRADIANT ADVISERS, LLC
UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF CALIFORNIA
OAKLAND DIVISION
In re TURNSTONE SYSTEMS, INCSECURITIES LITIGATION
Master File No CV-01-1256 SBA
This Document Relates To
ALL ACTIONS
CLASS ACTION
Date October 7, 2003Time 1 00 p mPlace Courtroom 3, 3rd floorJudge Honorable Saundra Brown Armstron g
AFFIDAVIT OF SHANDARESE GARR
AFFIDAVIT OF SHANDARESE GARRMaster File No CV-01-1256 SBA
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UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF CALIFORNI A
OAKLAND DIVISION
In re TURNSTONE SYSTEMS, INC S
LITIGATION,
CVNO C01-1256(SBA)
This Document Relates To
ALL ACTIONS
AFFIDAVIT OF SHANDARESE GARR
STATE OF NEW YORK )
COUNTY OF SUFFOLK )
ss
SHANDARESE GARR, being duly swo rn, deposes and says
1 I am the Assistant Vice President of Securities Operations of The Garden City Group,
Inc ("GCG"), the Claims Administrator authorized by Bernstein Litowitz Berger & Grossman, LLP,
pursuant to the Order Preliminarily Approving Settlement and Providing for Notice (the "Order"),
dated July 25, 2003, in connection with the above-captioned action (the "Litigation") I have personal
knowledge of the facts stated herei n
2 Pursuant to the July 25, 2003 Order, GCG was responsible for disseminating the
Notice of Pendency and Proposed Settlement of Class Action in this Litigation to potential Clas s
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Members The Notice of Pendency and Proposed Settlement of Class Action in this Litigation was
drafted by counsel and formatted by GCG with Approval of the Court GCG has administered
hundreds of Securities Class Action Settlements, and has considerable experience formatting Notices,
and developing Proofs of Claim and other documents required by the Court The Notice of Pendency
and Proof of Claim in this action are typical of those routinely used by GCG and approved by courts in
securities class actions Based on GCG's 18 years of experience of disseminating Notices and Proof
of Claim forms, the Notice and Proof of Claim forms in this action are straightforward and enable a
Class Member to easily participate in the settlement The Proof of Claim requires that the Class
Member provide only basic information, including the dollar amount of their purchases and sales of
Turnstone Systems, Inc common stock during the Class Period and the date of such purchases and/o r
sales
3 On or about July 23, 2003, GCG received from Equiserve, the transfer agent for
Turnstone Systems, Inc , the names and addresses of 448 persons or entities who purchased Turnstone
Systems, Inc common Stock pursuant to Turnstone's Secondary Offering on September 26, 2000
These names and addresses were then entered into GCG's computer database created for thi s
Litigation (the "Initial Database" )
4 To implement the mailing, on or about July 31, 2003, GCG provided Rolls Offset
("Rolls"), the printing and mailing contractor selected by GCG to handle the printing and mailing of
the Notice of Pendency and Proposed Settlement of Class Action (the "Notice") and Proof of Claim
and Release form (collectively, with the Notice, the "Claim Packet"), a data transmission containing
the names and addresses from the Initial Database These names and addresses were preprinted on th e
Proof of Claim and Release forms and inserted into envelopes containing the Notice, attached hereto
as Exhibit A The Claim Packets were then disseminated to 448 potential Class Members by first clas s
mail on August 1, 2003 (the "Initial Mailing")
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5 In addition to the Initial Database, GCG produced a list of some 1,945 of the largest
brokerage firms, banks, and institutions that may have acted as nominees for potential Class Members
(the "Broker Database") which was sent to Rolls The names and addresses from the Broker Databas e
were punted on envelopes containing the Claim Packet and mailed to the aforementioned entities
Attached hereto as Exhibit B is the affidavit of John Pizzuto, President of Rolls Offset, attesting t o
these mailings
6 Pursuant to the July 25, 2003 Order, GCG established a toll-free Interactive Voice
Response ("IVR") system to accommodate potential claimants This system became operational on or
about July 31, 2003 As of September 25, 2003 GCG has received a total of 20 calls out of which
5 potential claimants left messages and/or requests to speak with GCG Administrators for assistance,
all of which have been responded to in a timely manner
7 Also pursuant to the July 25, 2003 Order, GCG Communications, the media division
of GCG, published the Summary Notice for Publication (the "Summary Notice") in Investor's
Business Daily on August 1, 2003 Attached hereto as Exhibit C is the affidavit of Angela Goings,
Advertising Clerk for the publisher of Investor's Business Daily , attesting to this publication
8 In response to the Initial Mailing and the publication of the Summary Notice, GCG
has received an additional 1,631 names and addresses of potential Class Members from individuals o r
from brokerage firms, banks, institutions and other nominees, in the form of lists, labels and disks
requesting that Claim Packets be mailed to these individuals Also, brokers and other nominee holders
requested 1, 553 Claim Packets to forward to their customers
9 In the aggregate , 5,634 Claim Packets (including 57 Claim Packets that were remailed
to updated addresses provided to GCG by the US Postal Service ) were promptly disseminated to
potential Class Members by first class mail
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10 To date, GCG has received two (2) requests for exclusion, attached hereto as Exhibit
D, and no objections to this settlement
SHANDARESE cARR
Sworn to before me thi s
Day of , 200311.S "
Notary Public
p14NE M FIORE YorkNOTARY PUS!
iC State of New01 149BB15 4
Ouai hed ins t$O CoUntY 2QC6Comrn+ssIon Exp
4
BERNSTEIN LITOWITZ BERGER& GROSSMANN LL P
ALAN SCHULMAN (Bar No 128661)BLAIR A NICHOLAS (Bar No 178428)12544 High Bluff Drive, Suite 150San Diego, CA 92130Tel (858) 793-0070Fax (858) 793-0323
BERNSTEIN LIEBHARD & LIFSHITZ, LLPJEFFREY M HABE RTIMOTHY MACFALLDANIELLE MAZZINI-DALY10 East 40"' Stree tNew York, NY 10016Tel (212) 779-1414Fax (212) 779-321 8
Co-Lead Counsel for Plaintiffs and the Class
UNITED STATES DISTRICT COURTNORTHERN DISTRICT OF CALIFORNIA
OAKLAND DIVISIO N
In re TURNSTONE SYSTEMS, INCSECURITIES LITIGATION
Master File No CV-01-1256 SB A
This Document Relates T o
ALL ACTIONSx
CLASS ACTIO N
NOTICE OF PENDENCY AND PROPOSED SETTLEMENT OF CLASS ACTION
TO ALL PERSONS AND ENTITIES WHO PURCHASED TURNSTONE SYSTEMS, INC ("TURNSTONE") COMMON STOCKPURSUANT TO TURNSTONE'S SECONDARY OFFERING ON SEPTEMBER 26, 200 0
PLEASE READ THIS NOTICE CAREFULLY AND IN ITS ENTIRETY YOUR RIGHTS MAY BE AFFECTED BY PROCEEDINGS INTHIS LITIGATION PLEASE NOTE THAT IF YOU ARE A CLASS MEMBER, YOU MAY BE ENTITLED TO SHARE IN THE PROCEEDS OFTHE SETTLEMENT DESCRIBED IN THIS NOTICE TO CLAIM YOUR SHARE OF THIS FUND, YOU MUST SUBMIT A VALID PROOF OFCLAIM AND RELEASE POSTMARKED ON OR BEFORE OCTOBER 31, 2003
This Notice has been sent to you pursuant to Rule 23 of the Federal Rules of Civil Procedure and an Order of the United StatesDistract Court for the Northern District of California (the "Court") The purpose of this Notice is to inform you of the pendency of this class action(the "Litigation") and the proposed settlement thereof and of the hearing to be held by the Court to consider the fairness, reasonableness, andadequacy of the settlement This Notice describes the rights you may have in connection with your participation in this settlement, what stepsyou may take in relation to the settlement and this class action litigation, and alternatively, what steps you must take if you wish to be excludedfrom the settlement and this class action
The proposed settlement creates a fund in the amount of $7,000,000 in cash (the "Settlement Fund") and will include interest thataccrues on the fund prior to distribution Based on Lead Plaintiffs estimate of the number of shares entitled to participate in the settlement andthe anticipated number of claims to be submitted by Class Members, the average distribution per share would be approximately $3 80 beforededuction of Court-approved fees and expenses However, your actual recovery from this fund will depend on a number of variables, includingthe number of claimants, the number of shares you purchased, the expense of administering the claims process, and the timing of your sales, ifany
Lead Plaintiff and Defendants do not agree on the average amount of damages per share that would be recoverable if Lead Plaintiffwere to have prevailed on each claim asserted The issues on which the parties disagree include (1) the appropriate economic model fordetermining the amount by which Turnstone common stock was allegedly artificially inflated (if at all), (2) the amount by which Turnstonecommon stock was allegedly artificially inflated (if at all), (3) the effect of various market forces influencing the trading price of Turnstonecommon stock at various times, (4) the extent to which external factors, such as general market conditions, influenced the trading price ofTurnstone common stock at various times, (5) the extent to which the various matters that Lead Plaintiff alleged were materially false ormisleading influenced (if at all) the trading price of Turnstone common stock, (6) the extent to which the various allegedly adverse matenal factsthat Lead Plaintiff alleged were omitted influenced (if at all) the trading price of Turnstone common stock at various times, and (7) whether thestatements made or facts allegedly omitted were false, material or otherwise actionable under the federal securities laws
Lead Counsel believes that the proposed settlement is in the best interests of the Class Because of the risks associated withcontinuing to litigate and proceeding to trial, there was a danger that Lead Plaintiff would not have prevailed on any or all of its claims, in whichcase the Class would receive nothing or less than the Settlement Fund For example, Lead Plaintiff faced the possibility that all of the claimsagainst the Defendants would be dismissed in response to motions by Defendants or that the claims of the Class could have been significantlyreduced In addition to liability defenses, the amount of damages recoverable by the Class was and is challenges by Defendants Recoverabledamages in this case are limited to losses caused by conduct actionable under applicable taw and had the Litigation gone to trial, Defendants
intended to assert that all or most of the losses claimed by Class Members were caused by non-actionable market, industry or generaleconomic factors
Counsel for Plaintiffs have received no payment for their services in conducting the Litigation on behalf of the Lead Plaintiff and theMembers of the Class, nor haver they been reimbursed for their out-of-pocket expenditures If the settlement is approved by the Court, LeadCounsel in this case will apply to the Court for attorneys' fees of 25% of the settlement proceeds, reimbursement of out-of-pocket expenses inthe approximate amount of $150,000 00 to be paid from the Settlement Fund and interest thereon If the amount requested by Lead Counsel isapproved by the Court, the average cost per share would be approximately $1 03 The average cost per share could vary depending on thenumber of shares for which claims are file d
This Notice is not an expression of any opinion by the Court about the merits of any of the claims or defenses asserted by any party inthis Litigation or the fairness or adequacy of the proposed settlemen t
For further information regarding this settlement you may contact Jeffrey M Haber . Bernstein Liebhard & Lifshitz, LLP,10 East 400 Street, New York, New York 10016, Telephone (212) 779-1414, or you may also contact, Blair Nicholas, Bernstein LitowitzBerger & Grossmann LLP, 12544 High Bluff Drive, Suite 150, San Diego . California 92130, Telephone (858) 793-0070 You mayalso review documents pertaining to the Settlement ;, including the Stipulation of Settlement, at the following internet addresswww turnstonesystemsincsecuritieslitigation com Please do not call any representative of Turnstone or the Cour t
NOTICE OF HEARING ON PROPOSED SETTLEMENT
A settlement hearing will be held on October 7, 2003, at 1 00 p m , before the Honorable Saundra B Armstrong in the United StatesDistrict Courthouse, Courtroom 3, 3rd Floor, 1301 Clay Street, Suite 4005, Oakland, CA 94612-5212 (the "Settlement Hearing") The purposeof the Settlement Hearing will be to determine (1) whether the settlement consisting of $7,000,000 in cash, plus accrued interest, should beapproved as fair, reasonable and adequate to the Class, and therefore whether the Litigation should be dismissed with prejudice, (2) whetherthe proposed plan to distribute the settlement proceeds (the "Plan of Allocation") is fair and equitable to the Class Members, and (3) whetherthe application by Lead Counsel for an award of attorneys' fees, expenses and interest thereon should be approved Any and all disputesconcerning or arising from the Settlement shall be referred to a Magistrate Judge for resolution The Court may adjourn or continue theSettlement Hearing without further notice to the Clas s
II DEFINITIONS USED IN THIS NOTIC E
1 "Class" means a class consisting of all Persons and entities who purchased shares of Tumstone common stock issuedpursuant to Turnstone's Secondary Offering, which was completed pursuant to the Registration Statement/Prospectus declared effective on orabout September 21, 2000, and who suffered damages thereby (the "Class") Excluded from the Class are Defendants, the officers anddirectors of the Company, members of their immediate families and representatives, heirs, successors or assigns, and any entity in whichDefendants have a controlling interes t
2 "Defendants" means Tumstone Systems, Inc, Richard N Tinsley, P Kingston Duffie, M Denise Savoie, Goldman, Sachs &Co , Dain Rauscher Incorporated, Deutsche Bank Securities, FleetBoston Robertson Stephens Inc , and U S Bancorp Piper Jaffray In c
3 "Related Persons" as to Defendants means, as applicable, each of a Defendant's past or present directors, officers,managers, employees, partners, members, principals, agents, underwriters, insurers, co-insurers, reinsurers, controlling shareholders,attorneys, accountants or auditors, banks or investment banks, financial advisors, consultants, associates, personal or legal representatives,predecessors, successors, parents, subsidiaries, divisions, joint ventures, assigns, spouses, heirs, related or affiliated entities, any members oftheir immediate families, any entity in which a Defendant has a controlling interest, or any trust of which any Defendant is the settlor or which isfor the benefit of any Defendant and/or member(s) of his famil y
4 "Released Claims" means any and all claims, rights, demands, causes of actions, suits, matters, and issues, whether knownor unknown, whether based on federal, state, local, statutory or common law or any other law, rule or regulation, including Unknown Claims (asdefined below), that have been, might have been, or could be asserted at any time against any Defendant, and each and all of their RelatedPersons (and any Defendant's former and present parents, subsidiaries, affiliates, shareholders, directors, officers, employees, agents,representatives, accountants, auditors, attorneys, insurers, investment bankers, heirs, executors, administrators, beneficiaries, predecessors,successors and assigns) by any member of the Class, in any capacity, in the Litigation or in any court or other forum of competent jurisdiction,which arise out of or relate in any way to any of the following (a) the allegations, transactions, facts, matters or occurrences, representations oromissions involved, set forth, referred to or that could have been asserted in the Second Amended Complaint, (b) any allegedmisrepresentation or omission contained in the Registration Statement/Prospectus concerning or relating to the CX100 and the CrossWorkssoftware, (c) any purchase, sale or other disposition of ownership of Turnstone securities by Defendants and/or by Class Members, (d) theconduct of the business of Tumstone with regard to any of the allegations, transactions, facts, matters or occurrences, representations oromissions involved, set forth, referred to or that could have been asserted in the Second Amended Complaint, and (e) any and all claims arisingout of, relating to, or in connection with the settlement or resolution of the actions against the Released Persons Notwithstanding theforegoing, "Released Claims" shall not include the claims specifically alleged in the Amended Complaint, dated April 19, 2002, in theconsolidated action captioned In re Turnstone Systems, Inc Initial Public Offering Sec Litig, No 01 Civ 9981 SAS (S D N Y ), by members ofthe plaintiff class in such action against the defendants in such action
5 "Released Persons" means each and all of the Defendants and their respective Related Persons
6 "Settling Parties" means, collectively, Turnstone Defendants and the Plaintiffs on behalf of themselves and the members ofthe Class
7 "Unknown Claims" means any Released Claims that any Plaintiff or Class Member does not know or suspect to exist in his,her or its favor at the time of the release of the Released Persons which if known by him, her or it, might have affected his, her or its settlement
with and release of the Released Persons, or might have affected his, her or its decision not to object to this settlement or not to excludehimself, herself, or itself from the Class With respect to any and all Released Claims, the Settling Parties stipulate and agree that, upon theEffective Date, the Plaintiffs shall expressly and each of the Class Members shall be deemed to have, and by operation of the Judgment shallhave, expressly waived the provisions, rights and benefits of California Civil Code §1542, which provide s
A general release does not extend to claims which the creditor does not know or suspect to exist in his favor at thetime of executing the release, which if known by him must have materially affected his settlement with the debto r
Upon the Effective Date, the Plaintiffs shall expressly, and each of the Class Members shall be deemed to have, and by operation of theJudgment shall have, expressly waived any and all provisions, rights and benefits conferred by any law of any state or territory of the UnitedStates, or principle of common law, which is similar, comparable or equivalent to California Civil Code §1542 The Plaintiffs and ClassMembers may hereafter discover facts in addition to or different from those which they now know or believe to be true with respect to thesubject matter of the Released Claims, but the Plaintiffs shall expressly and each Class Member, upon the Effective Date, shall be deemed tohave, and by operation of the Judgment shall have, fully, finally, and forever settled and released any and all Released Claims, known orunknown, suspected or unsuspected, contingent or non-contingent, whether or not concealed or hidden, which now exist, or heretofore haveexisted upon any theory of law or equity now existing or coming into existence in the future, including, but not limited to, conduct which isnegligent, intentional, with or without malice, or a breach of any duty, law or rule, without regard to the subsequent discovery or existence ofsuch different or additional facts Plaintiffs acknowledge and the Class Members shall be deemed by operation of the Judgment to haveacknowledged, that the foregoing waiver was separately bargained for and a key element of the settlement of which this release is a part
8 Any terms not defined herein shall have the same definition as set forth in the Stipulation of Settlement ("Stipulation"),which can be reviewed, along with other documents pertaining to the settlement and Litigation, at the following internet addresswww turnstonesystemsincsecuntieslitigation coin
THE LITIGATIO N
On and after March 28, 2000, actions were filed in the United States District Court for the Northern Distract Court of California (the"Court") as securities class actions on behalf of persons who purchased or otherwise acquired the common stock of Turnston e
By Order dated November 30, 2001, these actions were consolidated for all purposes as In re Turnstone Systems, Inc SecuritiesLitigation, Master File No CV-0 1-1256 SBA, and the Court appointed Radiant Advisers, LLC as Lead Plaintiff and the law firms of BernsteinLitowitz Berger & Grossmann LLP and Bernstein Liebhard & Lifshitz, LLP as Co-Lead Counsel The operative complaint is the SecondAmended Complaint (the "Complaint"), filed on March 10, 2003 The Second Amended Complaint alleges that Defendants violated Sections11, 12(a)(2), and 15 of the Secunties Act of 1933 by issuing false and misleading statements in the Registration Statement/Prospectus filedwith the SEC and declared effective on or about September 21, 2000
IV CLAIMS OF THE LEAD PLAINTIFF AND BENEFITS OF SETTLEMENT
Lead Plaintiff believes that the claims asserted in the Litigation have meat However, counsel for Lead Plaintiff recognizes andacknowledges the expense and length of continued proceedings necessary to prosecute the Litigation against Defendants through trial andthrough appeals Counsel for Lead Plaintiff also has taken into account the uncertain outcome and the risk of any litigation, especially incomplex actions such as the Litigation, as well as the difficulties and delays inherent in such litigation Counsel for Lead Plaintiff is mindful ofthe inherent problems of proof under and possible defenses to the violations asserted in the Litigation and, as in any litigation, there exists apossibility that the Class could receive nothing, or less than the settlement amount, even if they were to prevail at trial Further, continuedlitigation would reduce thelimited amount of insurance available to satisfy any judgment Counsel for Lead Plaintiff believes that the settlementset forth in this Stipulation confers substantial benefits upon the Class Based on its evaluation, Lead Counsel has determined that thesettlement set forth in this Stipulation is in the best interest of Lead Plaintiff and the Class
V DEFENDANTS' STATE MENT AND DENIAL OF WRONGDOING AND LIABILITY
Defendants have denied and continue to deny each and all of the claims and contentions made by Lead Plaintiff in the LitigationDefendants expressly have denied and continue to deny all charges of wrongdoing or liability against them arising out of any of the conduct,statements, acts or omissions alleged, or that could have been alleged, in the Litigation Defendants also have denied and continue to deny,inter a/a, the allegations that Lead Plaintiff or the Class have suffered damages, that the price of Turnstone common stock was artificiallyinflated by reasons of alleged misrepresentations, non-disclosures or otherwise, or that the Lead Plaintiff or the Class were harmed by theconduct alleged in the Litigatio n
Nonetheless, Defendants have concluded that further conduct of the Litigation would be protracted and expensive, and that +t isdesirable that the Litigation be fully and finally settled in the manner and upon the terms and conditions set forth in this Stipulation Defendantsalso have taken into account the uncertainty and risks inherent in any litigation, especially in complex cases like this Litigation Defendantshave, therefore, determined that it is desirable and beneficial to them that the Litigation be settled in the manner and upon the terms andconditions set forth in the Stipulation
VI TERMS OF THE PROPOSED SETTLEMEN T
Turnstone will pay into an escrow account, pursuant to the terms of the Stipulation of Settlement, dated as of July 17, 2003 (the"Stipulation"), cash in the amount of $7,000,000, which upon deposit will earn interest for the benefit of the Class In exchange for the paymentdescribed above, Plaintiffs and the Class are releasing and discharging the Released Persons from any and all Released Claims SeeParagraph XI, below r
A portion of the settlement proceeds will be used for certain administrative expenses, including costs of printing and mailing thisNotice, the cost of publishing a newspaper notice, payment of any taxes assessed against the Settlement Fund and costs associated with the
processing of claims submitted and to pay for attorney fees, expenses and interest thereon awarded to Counsel for the RepresentativePlaintiffs The balance of the Settlement Fund (the "Net Settlement Fund") will be distributed according to the Plan of Allocation describedbelow to Class Members who submit valid and timely Proof of Claim form s
VII PLAN OF ALLOCATIO N
The Net Settlement Fund will be distributed to Class Members who submit valid and timely Proof of Claim forms (`AuthorizedClaimants") under the Plan of Allocation described below The Plan of Allocation provides that you will be eligible to participate in thedistribution of the Net Settlement Fund only if you have a net loss on all transactions in Turnstone common stock purchased pursuant toTurnstone's Secondary Offering on September 26, 2000, which was completed at $50 00 per share pursuant to the RegistrationStatement/Prospectus declared effective on or about September 21, 2000
Each Authorized Claimant shall be paid the percentage of the Net Settlement Fund that each Authorized Claimant's claim bears to thetotal of the claims of all Authorized Claimants Payment in this manner shall be deemed conclusive against all Authorized Claimant s
A claim will be calculated as followsCommon Stoc k
1 For shares of Turnstone common stock that were purchased pursuant to the Company 's September 26, 2000 SecondaryOffering, and
I sold prior to November 6, 2000 , the claim per share is $0 ,
11 sold from November 6, 2000 through Janua ry 2, 2001, the claim per share is $19 13 per share, and,
III retained at the end of Janua ry 2, 2001 the claim per share is $19 75 per share
The determination of the price paid per share and the price received per share shall be exclusive of all commissions, taxes , fees and charges
For Class Members who purchased Turnstone common stock pursuant to the Company's September 26, 2000 Seconda ry Offe ri ngand held Turnstone common stock on September 26, 2000 , the first-in, first-out ("FIFO" ) method wil l be applied to such holdings, purchasesand sales for purposes of calculating a claim Under the FIFO method , sales of secu ri ties between September 26, 2000 and Janua ry 2, 2001will be matched , in chronological order , first against shares held on September 26, 2000 The rema in ing sales of shares du ri ng the ClassPeriod will then be matched, in chronological order, against shares purchased pursuant to the September 26, 2000 Seconda ry Offe ri n g
A Class Member will be eligible to receive a distribution from the Net Se tt lement Fund only if such Class Member had a net loss, afterall profits from transactions in Tumstone common stock purchased pursuant to the Seconda ry Offe ri ng However, the proceeds from sales ofshares which are matched against shares held on September 26, 2000 will not be used in the calculation of such net los s
The Court has rese rved ju ri sdiction to allow , disallow or adjust the claim of any Class Member on equitable grounds
Vill ORDER CERTIFYING A SETTLEMENT CLASS FOR PURPOSES OF SETTLEMEN T
On July 25, 2003 , the Court prelimina ri ly ce rtified a class , fbr settlement purposes only The Class is defined abov e
IX PARTICIPATION IN THE CLAS S
If you fall within the definition of the Class, you will remain a Class Member unless you elect to be excluded from the Class If you donot request to be excluded from the Class, you will be bound by any judgment entered with respect to the settlement in the Litigation whether ornot you file a Proof of Claim
N you wish to remain a Class Member, you do not need to do anything (other than timely file a Proof of Claim and Release ifyou wish to participate in the distribution of the Net Settlement Fund). Your interests will be represented by Lead Counsel If youchoose, you may enter an appearance individually or through your own counsel at your own expens e
TO PARTICIPATE IN THE DISTRIBUTION OF THE NET SETTLEMENT FUND, YOU MUST TIMELY COMPLETE AND RETURNTHE PROOF OF CLAIM AND RELEASE FORM THAT ACCOMPANIES THIS NOTICE The Proof of Claim and Release must be postmarkedon or before October 31, 2003 and delivered to the Claims Administrator at the address below Unless the Court orders otherwise , if you do nottimely submit a valid Proof of Claim, you will be barred from receiving any payments from the Net Settlement Fund, but will in all other respectsbe bound by the provisions of the Stipulation and the Judgment
X EXCLUSION FROM THE CLAS S
You may request to be excluded from the Class To do so, you must mail a written request stating that you wish to be excluded fromthe Class to
In re Turnstone Systems, Inc Securities LitigationGo The Garden City Group, In cClaims AdministratorAttention ExclusionP O Box 9000 #6138Merrick , NY 11566-9000
The request for exclusion must state (a) your name, address, and telephone number, (b) all purchases and sales of Tumstonecommon stock purchased pursuant to Turnstone's Secondary Offering on September 26, 2000, including the dates of purchase or sale, thenumber of shares purchased or sold and the price paid or received per share, and (c) that you wish to be excluded from the Class YOUREXCLUSION REQUEST MUST BE POSTMARKED ON OR BEFORE SEPTEMBER 16, 2003 If you submit a valid and timely request forexclusion, you shall have no rights under the settlement, shall not share in the distribution of the Net Settlement Fund, and shall not be boundby the Stipulation or the Judgmen t
XI DISMISSAL AND RELEASE S
If the proposed settlement is approved, the Court will enter a Final Judgment and Order of Dismissal with Prejudice ("Judgment")The Judgment will dismiss the Released Claims with prejudice as to all Released Persons The Judgment will also dismiss the Litigation as toall Defendants, with prejudice
The Judgment will provide that all Class Members who do not validly and timely request to be excluded from the Class shall bedeemed to have released and forever discharged all Released Claims (to the extent Members of the Class have such claims) against allReleased Persons, and will bar all Class Members from instituting any action asserting claims arising out of and/or based upon the purchase ofTurnstone common stock pursuant to Turnstone's Secondary Offering on September 26, 2000 and the circumstances underlying, or whichcould have been asserted in the Litigation against any of the Defendant s
XII APPLICATION FOR FEES AND EXPENSE S
At the Settlement Hearing, counsel for Lead Plaintiff will request the Court to award attorneys' fees of 25% of the Settlement Fund,plus reimbursement of expenses in the approximate amount of $150,000 00, for expenses that were paid or incurred in connection with theLitigation, plus interest thereon Class Members are not personally liable for any such fees or expense s
To date, Counsel for the Lead Plaintiff have not received any payment for their services in conducting this Litigation on behalf ofPlaintiffs and the members of the Class, nor have they been reimbursed for their out-of-pocket expenses The fee requested by Lead Counselwould compensate Counsel for the Plaintiffs for their efforts in achieving the Settlement Fund for the benefit of the Class, and for their risk inundertaking this representation on a contingency basis The fee requested is within the range of fees awarded to plaintiffs' counsel undersimilar circumstances in litigation of this type
XIII CONDITIONS FOR SETTLEMEN T
The settlement is conditioned upon the occurrence of certain events described in the Stipulation Those events include, among otherthings (a) entry of the Judgment by the Court, as provided for in the Stipulation, and (b) expiration of the time to appeal from or alter or amendthe Judgment If, for any reason, any one of the conditions described in the Stipulation is not met, the Stipulation might be terminated and, ifterminated, will become null and void, and the parties to the Stipulation will be restored to their respective positions as of July 17, 200 3
XIV THE RIGHT TO BE HEARD AT THE HEARIN G
Any Class Member who has not validly and timely requested to be excluded from the Class, and who objects to any aspect of thesettlement, the Plan of Allocation, or the application for attorneys' fees, costs and expenses, may appear and be heard at the SettlementHearing Any such Person must submit a written notice of objection and such papers must be received on or before September 16, 2003 byeach of the followin g
Attorneys for the Lead Plaintiff and the Clas s
BERNSTEIN LITOWITZ BERGER& GROSSMANN LLP
ALAN SCHULMANBLAIR A NICHOLA S12544 High Bluff Drive, Suite 150San Diego, CA 9213 0
BERNSTEIN LIEBHARD& LIFSHITZ, LL P
JEFFREY M HABERTIMOTHY MACFALLDANIELLE MAZZINI-DALY10 East 40`' StreetNew York, NY 10016
CLERK OF THE COURTUNITED STATES DISTRICT COURTNORTHERN DISTRICT OF CALIFORNIA1301 Clay Street , Suite 400 SOakland , CA 94612-5212
Attorneys for Defendant Turnstone Systems, In c
WILSON SONSINI GOODRICH & ROSATIBORIS FELDMANELLEN H EHRENPREISDAVID L LANSKYSTUART KAGENProfessional Corporation650 Page Mill Roa dPalo Alto, CA 9430 4
The notice of objection must demonstrate the objecting Person's membership in the Class, including the number of shares ofTurnstone common stock purchased pursuant to the Secondary Offering on September 26, 2000, and contain a statement of the reasons forobjection Unless otherwise ordered by the Court, any Class Member that does not timely file and serve a written objection waives theobjection Only Class Members who have submitted written notices of objections in this manner will be entitled to be heard at the SettlementHearing, unless the Court orders otherwise
XV SPECIAL NOTICE TO NOMINEE S
If you purchased Turnstone common stock pursuant to Tumstone's Secondary Offering on September 26, 2000, as nominee for abeneficial owner, then, within ten (10) days after you receive this Notice, you must either (a) send a copy of this Notice and the Proof of Claimand Release by first class mail to all such Persons, or (b) provide a list of the names and addresses of such Persons to the ClaimsAdministrator
to re Tumstone Systems, Inc Secuntres Litigationc/o The Garden City Group, IncClaims AdministratorP O Box 9000 #6138Merrick, NY 11566-9000
If you choose to mail the Notice and Proof of Claim and Release yourself, you may obtain from the Claims Administrator (without costto you) as many additional copies of these documents as you will need to complete the mailin g
Regardless of whether you choose to complete the mailing yourself or elect to have the mailing performed for you, you may obtainreimbursement for or advancement of reasonable administrative costs actually incurred or expected to be incurred upon submission ofsupporting documentation to the Claims Administrato r
XVI EXAMINATION OF PAPERS
This Notice is a summary and does not describe all of the details of the Stipulation For full details of the matters discussed in thisNotice, you may review the Stipulation which can be reviewed, along with other documents pertaining to the settlement and Litigation, at thefollowing internet address www tumstonesystemsincsecuntieslitigation com For full details of the matters discussed in this Notice, you mayalso review the papers on rile with the Court in this Litigation, which may be inspected during normal business hours, at the Office of the Clerkof the Court at the United States District Courthouse, 1301 Clay Street, Suite 400S, Oakland, CA 94612-5212 If you have any questions aboutthe settlement of the Litigation, you may contact Lead Counsel by writin g
BERNSTEIN LITOWITZ BERGER& GROSSMANN LLP
ALAN SCHULMANBLAIR A NICHOLAS12544 High Bluff Drive, Suite 150San Diego, CA 9213 0
BERNSTEIN LIEBHARD& LIFSHITZ, LLP
JEFFREY M HABERTIMOTHY MACFALLDANIELLE MAZZINI-DALY10 East 40t" Stree tNew York , NY 10016
DO NOT TELEPHONE THE COURT REGARDING THIS NOTIC E
Dated August 1, 2003 BY ORDER OF THE COURTUNITED STATES DISTRICT COURTNORTHERN DISTRICT OF CALIFORNIAOAKLAND DIVISION
1•
In re Turnstone Systems , Inc Securities Litigatio nMust be Postmarked c/o The Garden City Group , Inc . TUR
No Later Than Claims AdministratorOctober 31 ,2003 P.O Box 9000 #6138 111111111 it IIIIII11 II I] III I I I I IIIII III IIIIIIII f IIII all II I I II illf II IMerrick , NY 11566-9000
1 (866) 512-4136www turnstonesystemsincsecurities l itigation com
PROOF OF CLAIM AND RELEASE
Claim Number Control Number CORRECTIONS OR ADDITIONAL INFORMATION
Write any name and address corrections below if anyare necessa ry (R if there is no prep rinted data to the left,please provide your name and address here
Please fill in SSNITIN if box is blank
identity of Claimant (Complete only the applicable portions )
Daytime Telephone Number. ( ) - ❑1 13
Evening Telephone Number. ( ) -
GENERAL INSTRUCTIONS
Individual 0 IRAEstate 0 CorporationTrustOther
1 To recover as a member of the Class based on your claims in the action entitled to re Turnsfone Systems, IncSecuritie8 Litigation, No CV 01-1256 SBA (the "Litigation"), you must complete and, on page 5 hereof, sign this Proof of Claimand Release If you fail to file a properly addressed (as set forth in paragraph 3 below) Proof of Claim and Release, your claimmay be rejected and you may be precluded from any recovery from the Settlement Fund created in connection with the proposedsettlement of the Litigatio n
2 Submission of this Proof of Claim and Release, however, does not assure that you will share in the proceeds ofsettlement in the Litigatio n
3 YOU MUST MAIL YOUR COMPLETED AND SIGNED PROOF OF CLAIM AND RELEASE POSTMARKEDON OR BEFORE OCTOBER 31, 2003, ADDRESSED AS FOLLOWS
In re Turnstone Systems, Inc Securities Litigationc/o The Garden City Group, Inc
Claims AdministratorP O Box 9000 #6138
Merrick, NY 11566-900 0
If you are NOT a member of the Class (as defined in the Notice of Pendency and Proposed Settlement of Class Action) DO NOTsubmit a Proof of Claim and Release Form
4 If you are a member of the Class , you are bound by the terms of any judgment entered in the Litigation,WHETHER OR NOT YOU SUBMIT A PROOF OF CLAIM AND RELEASE
II . DEFINITION S
1 "Defendants" means Turnstone Systems, Inc, Richard N Insley, P Kingston Duffle, M Denise Savoie,Goldman, Sachs & Co , Darn Rauscher Incorporated, Deutsche Bank Securities, FleetBoston Robertson Stephens Inc , and U SBancorp Piper Jaffray Inc
2 "Released Persons" means each and all of the Defendants and their respective Related Persons
CLAIMANT IDENTIFICATIO N
1 If you purchased shares of Turnstone common stock issued pursuant to Turnstone 's Seconda ryOffering on September 26, 2000 , which was completed at $50 per share pursuant to the Registration Statement andProspectus flied with the Securities and Exchange Commission ("SEC") and declared effective on or aboutSeptember 21, 2000 ("Registration Statement/Prospectus "), and held the certificate ( s) in your name , you are the ben-eficial purchaser as well as the record purchaser If, however , you purchased Turnstone common stock issued pur-suant to the Registration Statement/Prospectus and the certificate (s) were registered in the name of a third party, suchas a nominee or brokerage firm, you are the beneficial purchaser and the third party is the record purchase r
2 Use section entitled "CORRECTIONS OR ADDITIONAL INFORMATION" to identify each purchaser ofrecord ("nominee " ), if different from the beneficial purchaser of Turn stone stock that form the basis of this claim THISCLAIM MUST BE FILED BY THE ACTUAL BENEFICIAL PURCHASER OR PURCHASERS, OR THE LEGALREPRESENTATIVE OF SUCH PURCHASER OR PURCHASERS, OF THE TURNSTONE COMMON STOCK UPONWHICH THIS CLAIM IS BASED
3 All joint purchasers must sign this claim Executors , administrators , guardians , conservators andtrustees must complete and sign this claim on behalf of Persons represented by them and their authority mustaccompany this claim and their titles or capacities must be stated The Social Security (or taxpayer identification)number and telephone number of the beneficial owner may be used in verifying the claim Failure to provide theforegoing information could delay verification of your claim or result in re jection of the claim
IV. CLAIM FORM
I Use section entitled "Schedule of Transactions in Turnstone Common Stock" to supply all requireddetails of your transaction (s) in Turnstone common stock If you need more space or additional schedules , attachseparate sheets giving all of the required information in substantially the same form Sign and print or type your nameon each additional shee t
2 On the schedules , provide all of the requested information with respect to all of your purchases and allof your sales of Turnstone common stock purchased pursuant to the Registration Statement/Prospectus , whether suchtransactions resulted in a profit or a loss Failure to report all such transactions may result in the rejection of yourclaim
3 List each transaction separately and in chronological order , by trade date You must accuratelyprovide the month , day and year of each transaction you list
4 Broker confirmations or other documentation of your transactions in Turnstone common stockpurchased pursuant to the Registration Statement/Prospectus should be attached to your claim Failure to provide thisdocumentation could delay verification of your claim or result in rejection of your claim
SCHEDULE OF TRANSACTIONS IN TURNSTONE COMMON STOCKSeparately list each of your purchases and sales of Tumstone common stock below Attach a separate schedule if more space isneeded Be sure to include your name and Social Secun ty number or Tax ID number on any additional sheets The date of purchaseor sale is the "trade" or "contract" date, and not the "settlement" or "payment" dat e
SECTION H BEGINNING HOLDINGS- Number of shares of Turnstone common stockheld at the beginning of trading on September 26, 2000
SECTION P PURCHASES Number of shares of Turnstone common stock purchasedpursuant to the Secondary Offering on September 26, 2000, whichwas completed at $50 per share pursuant to the RegistrationStatement/Prospectus declared effective on or about September 21, 2000,
TradeDate
Month/Day/Year
Number of TotalShares Purchase
Purchased Price
1 1 E I s1 1 Is I
I Is-SECTION S• SALES : Number of Shares of Turnstone common stock sold between
September 26, 2000 through and including Janua ry 2, 2001
Trade
Date
Month/Day/Year
Number of TotalShares SalesSold Price
1 1
Fs I1
1 1
SECTION U UNSOLD HOLDINGS Number of shares of Turnstone common stock heldat the close of trading on January 2, 200 1
If you require additional space, attach extra schedules in the same format as aboveSign and print your name on each additional page Be sure to include your name and
Social Security number or Tax ID number on any additional sheet s
YOU MUST READ AND SIGN THE RELEASE ON PAGE 5
3
I 111111111 III I III I II IIII III ff f I IIII 1111111111111 lIII II I f C fff Ifll IllfV SUBMISSION TO JURISDICTION OF COURT AND ACKNOWLEDGMENT S
I submit this Proof of Claim and Release under the terms of the Stipulation of Settlement (the "Stipulation") described in theNotice I also submit to the jurisdiction of the United States District Court for the Northern District of California with respect to myclaim as a Class Member and for purposes of enforcing the release set forth herein I further acknowledge that I am bound by andsubject to the terms of any judgment that may be entered in the Litigation I agree to furnish additional information to Lead Counselto support this claim if required to do so I have not submitted any other claim covering the same purchases or sales of Tumstonecommon stock and know of no other person having done so on my behalf
VI RELEASE
1 1 hereby acknowledge full and complete satisfaction of, and do hereby fully, finally and forever settle, release anddischarge from the Released Claims each and all of the Defendants and each and all of their "Related Persons" defined as toDefendants as each of a Defendants' past or present directors, officers, managers, employees, partners, members, principals,agents, underwriters, insurers, co-insurers, reinsurers, controlling shareholders, attorneys, accountants or auditors, banks orinvestment banks, financial advisors, consultants, associates, personal or legal representatives, predecessors, successors,parents, subsidiaries, divisions, joint ventures, assigns, spouses, heirs, related or affiliated entities, any members of theirimmediate families, any entity in which a Defendant has a controlling interest, or any trust of which any Defendant is the settlor orwhich is for the benefit of any Defendant and/or member(s) of his famil y
2 "Released Claims" means any and all claims, rights, demands, causes of actions, suits, matters, and issues,whether known or unknown, whether based on federal, state, local, statutory or common law or any other law, rule or regulation,including Unknown Claims (as defined below), that have been, might have been, or could be asserted at any time against anyDefendant and each and all of their Related Persons (and any Defendant's former and present parents, subsidiaries, affiliates,shareholders, directors, officers, employees, agents, representatives, accountants, auditors, attorneys, insurers, investment bankers,heirs, executors, administrators, beneficiaries, predecessors, successors and assigns) by any member of the Class, in anycapacity, in the Litigation or in any Court of competent jurisdiction in the Litigation or in any Court or other forum of competentjurisdiction which anse out of or relate in any way to any of the following (a) the allegations, transactions, facts, matters oroccurrences, representations or omissions involved, set forth, referred to or that could have been asserted in the Second AmendedComplaint, (b) any alleged misrepresentation or omission contained in the Registration Statement/Prospectus concerning or relatingto the CX100 and the CrossWorks software, (c) any purchase, sale or other disposition of ownership of Tumstone securities byDefendants and/or by Class Members, (d) the conduct of the business of Tumstone with regard to any of the allegations,transactions, facts, matters or occurrences, representations or omissions involved, set forth, referred to or that could have beenasserted in the Second Amended Complaint, and (e) any and all claims arising out of, relating to, or in connection with thesettlement or resolution of the actions against the Released Persons Notwithstanding the foregoing, "Released Claims" shall notinclude the claims specifically alleged in the Amended Complaint, dated April 19, 2002, in the consolidated action captionedIn re Tumstone Systems, Inc Initial Public Offering Sec Litig , No 01 Civ 9981 SAS (S D N Y ), by members of the plaintiff class insuch action against the defendants in such actio n
3 "Unknown Claims" means any Released Claims that any Plaintiff or Class Member does not know or suspect toexist in his, her or its favor at the time of the release of the Released Persons which, if known by him, her or it, might have affectedhis, her or its settlement with and release of the Released Persons, or might have affected his, her or its decision not to object tothis settlement or not to exclude himself, herself, or itself from the Class With respect to any and all Released Claims, the SettlingParties stipulate and agree that, upon the Effective Date, the Plaintiffs shall expressly and each of the Class Members shall bedeemed to have, and by operation of the Judgment shall have, expressly waived the provisions, rights and benefits of California CivilCode §1542, which provides
A general release does not extend to claims which the creditor does not know or suspect to exist in his favor at thetime of executing the release, which if known by him must have materially affected his settlement with the debto r
Upon the Effective Date, the Plaintiffs shall expressly, and each of the Class Members shall be deemed to have, and byoperation of the Judgment shall have, expressly waived any and all provisions, rights and benefits conferred by any law of any stateor terntory of the United States, or principle of common law, which is similar, comparable or equivalent to California Civil Code §1542The Plaintiffs and Class Members may hereafter discover facts in addition to or different from those which they now know or believeto be true with respect to the subject matter of the Released Claims, but the Plaintiffs shall expressly and each Class Member, uponthe Effective Date, shall be deemed to have, and by operation of the Judgment shall have, fully, finally, and forever settled andreleased any and all Released Claims, known or unknown, suspected or unsuspected, contingent or non-contingent, whether or notconcealed or hidden, which now exist, or heretofore have existed upon any theory of law or equity now existing or coming intoexistence in the future, including, but not limited to, conduct which is negligent, intentional, with or without malice, or a breach of anyduty, law or rule, without regard to the subsequent discovery or existence of such different or additional facts Plaintiffs acknowledgeand the Class Members shall be deemed by operation of the Judgment to have acknowledged, that the foregoing waiver wasseparately bargained for and a key element of the settlement of which this release is a par t
4
4 This release shall be of no force or effect unless and until the Court approves the Stipulation and the Stipulationbecomes effective on the Effective Date (as defined in the Stipulation )
5 I (We) hereby warrant and represent that I (we) have not assigned or transferred or purported to assign ortransfer, voluntanly or involuntarily, any matter released pursuant to this release or any other part or portion thereof
6 1 (We) hereby warrant and represent that I (we) have included information about all of my (our) transactions inTurnstone common stock issued pursuant to the Registration Statement/Prospectu s
VII SUBSTITUTE FORM W-9
Request for Taxpayer Identification Number and Certification
For Payees Exempt from Backup Withholding
If you are exempt from backup withholding, enter your correct tax payer identification number on Page 1 and write "exempt" on thefollowing line
RELEASE
UNDER THE PENALTY OF PERJURY I (WE) CERTIFY THAT
The number shown on this form is my (our) correct TIN, an d
I (We) certify that I am (we are) NOT subject to backup withholding under the provisions of Section 3406(a)(1)(c) ofthe Internal Revenue Code because (a) I am (we are) exempt from backup withholding, or (b) I (we) have not been notifiedby the Internal Revenue Service that 1 am (we are) subject to backup withholding as a result of a failure to report all interestor dividends, or (c) the IRS has notified me (us) that I am (we are) no longer subject to backup withholding
NOTE If you have been notified by the Internal Revenue Service that you are subject to backup withholding, you must crossout the language that you are not subject to backup withholding in the above certificatio n
The Internal Revenue Service does not require your consent to any provision of this document other than the certificationrequired to avoid backup withholding
I declare under penalty of perjury under the laws of the United States of America that the foregoing information sup-plied by the undersigned is true and correct
Executed this day of(Month/Year)
in(City) (State/Country)
(Sign your name here )
(Type or print your name here )
(Capacity of person(s) signing,e g , Beneficial Purchaser,Executor or Administrator)
1111111111 l l l l l 111 111111111 l l l 1111111101111111111111111 l 1111 I I I I 111 1
THANK YOU FOR YOUR PATIENCE .
Reminder Checklist-
1 . Please sign the above release and declaration2 Remember to attach supporting documentation3 Do not send original stock certificates4. Keep a copy of your claim form for your records5 If you desire an acknowledgment of receipt of your claim form,
please send it Certified Mail, Return Receipt Requested .6 If you move, please send us your new address .7 The Administrator will acknowledge receipt of your
Proof of Claim and Release by mail Your claim i snot deemed filed until you receive an acknowledgementpostcard . If you do not receive an acknowledgementpostcard within 30 days, please call the Administratortoll free at 1 (866) 512-413 6
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UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF CALIFORNI A
OAKLAND DIVISIO N
In re TURNSTONE SYSTEMS, INC
SECURITIES LITIGATION
This Document Relates To
ALL ACTIONS
Master File No CV-01-1256(SBA)
AFFIDAVIT OF JOHN PIZZUTO
STATE OF NEW YORK }) ss
COUNTY OF SUFFOLK )
JOHN PIZZUTO, being duty sworn, deposes and say s
I am President of the firm Rolls Offset located at 370 North Street, Teterboro, New Jersey Rolls
Offset was retained by The Garden City Group, Inc to print and mail the Notice of Pendency and
Proposed Settlement of Class Action and Proof of Claim and Release form (collectively, with the Notice,
the "Claim Packet") in the above-captioned matter
I hereby certify that, using the name and address files supplied by The Garden City Group, Inc , I
caused 2,393 Claim Packets to be addressed and mailed First Class on August 1, 20 3
JOHN PIZZ TO
Swo rn to before me thi s
5 day of 2003
l~ \ ~ J
-Notary Public pNN5 M FOR E
NOTA RY No 01 XI4968154
NOW York
Qualitied jn Sutfotk CauntyCommission Expir es November 4, 200
Affidavit of Publicatio n
Name of Publication Investor's Business Daily
Address 12655 Beatrice Street
City, State Zip : Los Angeles , CA 90066
Phone# : 3 1 01448 6700
State of: California
County of: Los Angeles
I, Angela Goings, for the publisher of Investor's Business Daily published in the city of LosAngeles , state of California , hereby certify that the attached advertisement(s) was printed in saidpublication on the August 1, 2003
Given under my hand, this 1st day of Au ist, 2003 .
Signature
Sworn to and subscribed before me this day of I, atstate of t' E t a ~I d \'
Notary Public f " rMy commission expires- ,t - 1 tr
TINA R . BUCHANANNotary Public, State of New York
No. 01-B06048i76Qualified In Dutchess Count_ y
Commission Expires Sept 18, 2QLP
2003 jAj Y01-)O
R ~yATIVE PI- buSTRY
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Ze frMP ;39 3 ,3L 250 10a Offajing on September ' 2S, 2000 , which was completed at $ (? Cb per sure pursuant}q",1Pil 5951) .`1$=-35 565'11 o to the' Re Istratron Statemerit/Pro# q 9 sp tus, whidl;rias declared effectlve ,on or about ; r,^t?4I 373(16'11 67 d6 Bk 1 a-; °' -"" "September 21, 2000, your rights may be affected by the settlgrti of tfu lgaUOri _
r Ia5.i506vr81 r5tf9m 0a If you have not received a detailed Notice of Pendency and Proposed Setffement ofPL tU 27.3D - 14
.~, ClassArbon and ` of the Proof of Cfa+m and Release , you T Y, sb obtainbO1 yaBdr t9tr 68b3 +' 5J 195;}9a ` ku~4~5c y5'1. { 32 to !n~re_Tumst Sj sYems, Inc. Secunbres lmgaa cJo Tire Gat'den City Gmtq~' Inc ;' ,
s fNG 1➢ 7f 11115 o Claims A t o1i tor , PO'Box 9000 #6138 Memck , NY- l'56(3-900D,,̀_ iftyou'are a{ nkC if 3196 05' 375-99 Class Member, rn order to share ° rn the dlstnb tutron of #4Net SettlZtiarit IFurid ; Sou5, sue- a, z ~i, .sp Y -f * F,Al IR}27Bt , i +5d11m Ada must ? subrint - a Proof , of, Claim and Release no -later than Octobe ru31 ;,2003
1G3 iSlm' g316_ = 23 . 57 4~^6l'e r y- = x µ - establishing that you are eritttled to recovery s You will be'6&Ad1 `airy i idgment-1fR-1695 132 '±t13Bri l0a a „ ,rendered in the Litigation whether or not ~ make a claim~: N1'0 5730 -1 . lil .5I'A4°? A3 _ , } -,~ c - - e . .
~,~ if you desire to be excluded from the Class , you must fi le a request for exdusrony3 ~ 1t i1i JB ~kt07ri~= c try September 6 , 2003, in the manner and form eitpleined in the detailed Notice
pityrUH1E39ZB , 30 j 7B .10a referred to above 'AII'Memb6rs of the Class who have not requested exdusuon fromven al 19 15 '6t1.10~ Cla'ss will be bound byanyjudgment entered in the tangatlon ,pursuant It the
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tT 3 13 ;;24 23 rlly ° CLERK OF THE COURT' ' Attorneys for DefendantAsl txY 2051W- 01 ,ft4131 33_ UNITED STATES DISTRICT COURT Turnstone Systems, Inc , Z T ,
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'46K .29-_13 '56-9- REGARDING THIS NOTICE - +'35OV!-43 "-,6 319 ;3 GIIL% ,. 51 +81 54,-1 DATED August 1, 2003 BY ORDER OF THE COURT -~983 . 18 ±}i 618 :?5t ' - UNITED STATES DISTRICT COURT,.67L15p 40 .3213ni NORTHERN DISTRICT OF CALIFORNI A
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SEP 15 2003
Katherine K . Bingham111 Eyre Lanelocust Valley. NY 11560-2201September 4, 2043
In re Turnstone Systems, Inc . Securities Litigationdo The Garden City Group, Inc.Claims AdministratorAttention. ExclusionPO Box 9000 #6138Merrick, NY 11560-9000
Deer Clsi ms Admini stator.
Re hue Tumstone Sy t n . Inc . curities lit# on
I wish to be excluded from the Class in the above referenced class action .
My name is Katherine K. Bingham sad my address is j 11 Byre Lane. Locust Valley. NewYork, 11560-2201 . My phone number is 516-676-0788 .
1 purchased 200 shares of Turnstonc Systems, Inc at $66.25 per share on September 5 .200D and an additional 400 shares on October 3, 2000 at $48375 per share . All 600 sly weresold on November 6, 2000 at $13 .06205 per share for total proceeds of $7,837 .23
If you should have any questions, please feel free to call .
Miank you for your time and attention .
Sincerely,
Katherine K. Bmghaxn c b 3
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To Claims Administrator J-spin 3
Re: Turnstone Systems, Inc . Securities Litigation
From : Patricia A. Leonard
Date September 15, 2003
Request for Exclusion from Class Action
Please consider this letter a formal request for exclusipn from the Class Actionagainst Turnstone Systems, inc . I do not wish to be considered a plaintiff in this cas e
I neither purchased nor sold any Turnstone Systems, Inc stock pursuant toTurnstone's Secondary Offering on September 26, 2000 .
Sincerely,
PC a-/-Patricia A Leonard12908 Locksley CourtHerndon , VA, 20171703-736-9686
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