The Law Firm of Levi & Korsinsky, LLP Launches an Investigation Into Possible Claims of Breaches of Fiduciary Duty Against the Board of Directors of Sealy Corporation

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Mar 14, 2012, 05:05 ET

NEW YORK, March 14, 2012 /PRNewswire/ -- Levi & Korsinsky is investigating potential claims against the Board of Directors of Sealy Corporation ("Sealy" or the "Company") (NYSE: ZZ) in connection with the compensation of certain members of the Board and other officers and certain transactions involving Sealy and its largest shareholder, Kohlberg Kravis Roberts & Co. L.P. ("KKR"). As of November 27, 2011, KKR owns approximately 46% of Sealy's outstanding shares.

For more information, click here: http://www.zlk.com/sealy-corporation-zz.

On March 11, 2012, H Partners Management, LLC ("H Partners"), a Sealy shareholder owning approximately 14.5% of Sealy's outstanding shares, sent a letter to the Board expressing concern that the Board has been advancing the interests of KKR instead of, and often at the expense of, the interests of all Sealy shareholders. For example, as stated in H Partners' letter, the Board has sanctioned $20.9 million of payments to KKR in "consulting" and "advisory" fees since Sealy's IPO in 2006, which represents a transfer of value from Sealy shareholders to KKR and its affiliates. Furthermore, H Partners alleged that Sealy's Compensation Committee made certain decisions concerning director and officer compensation in accordance with the interests of KKR.

If you own Sealy stock and wish to obtain additional information about the investigation and your legal rights, please contact Joseph E. Levi, Esq. either via email at [email protected] or by telephone at (212) 363-7500, toll-free: (877) 363-5972, or visit http://www.zlk.com.

Levi & Korsinsky is a national firm with offices in New York and Washington D.C. The firm has extensive expertise in prosecuting securities litigation involving financial fraud, representing investors throughout the nation in securities and shareholder lawsuits. The attorneys at Levi & Korsinsky have been appointed by numerous courts throughout the country to serve as lead counsel on behalf of shareholders in major securities lawsuits and have successfully recovered multimillion-dollar damages awards on behalf of investors. For more information, please feel free to contact any of the attorneys listed below. Attorney advertising. Prior results do not guarantee similar outcomes.

CONTACT:
Levi & Korsinsky, LLP
Joseph Levi, Esq.
Eduard Korsinsky, Esq.
30 Broad Street - 24th Floor
New York, NY 10004
Tel: (212) 363-7500
Toll Free: (877) 363-5972
Fax: (212) 363-7171
www.zlk.com

SOURCE Levi & Korsinsky, LLP