In Re US Aggregates, Inc. Securities Litigation

ORDER GRANTING DEFENDANT’S MOTION TO DISMISS

Defendants U.S. Aggregates, Inc. (U.S. Aggregates or Company), its former Chief Executive Officer James Harris and its former Chief Financial Officer Michael Stone move to dismiss lead Plaintiff Eugene L. Loper’s complaint alleging securities fraud in violation of sections 10(b) and 20(a) of the Securities and Exchange Act of 1934. Plaintiff opposes the motion. The matter was heard on August 9, 2002. Having considered all of the papers filed by the parties, and oral argument on the motion, the Court grants Defendants’ motion to dismiss, and grants leave to amend (Docket #49).

BACKGROUND

The following facts are taken from Plaintiffs Consolidated Class Action Complaint filed on October 12, 2001 and as sumed to be true for purposes of this motion. In re Silicon Graphics Inc. Sec. Litig., 183 F.3d 970, 983 (9th Cir.1999).

U.S. Aggregates is a producer of aggregates, i.e. crushed stone, sand and gravel. The Company’s products are used primarily for the construction and maintenance of highways and other infrastructure projects and for residential construction. U.S. Aggregates operates through two wholly owned subsidiaries, SRM Holdings…