NorthPoint's Trustee states in an e-mail that shareholder presence at the trial could prove helpful.




From: Lynn Schoenmann
To: XXXX XXXXXXX (wozdak)
Sent: Monday, May 27, 2002, 12:11 PM
Subject: Re: NorthPoint Vs Verizon

Mr. XXXXXXX:(wozdak)

I appreciate your input but it would be inappropriate for me to comment on the substance of the litigation.

We are still expecting the trial to begin on July 29. May we expect to see you and other members of your group in court for the trial? It might prove helpful.

Lynn Schoenmann




----- Original Message -----
From: XXXX XXXXXXX
To: E. Lynn Schoenmann
Cc: mkahn@flk.com ; Sam Miller ; Doug Sullivan
Sent: Monday, May 27, 2002 11:13 AM
Subject: NorthPoint vs Verizon

Hello Ms. Schoenmann,

Here is an excerpt from a Bloomberg report dated July 20, 2001. Eight months after Verizon terminated the Merger with NorthPoint, they are still stating that the "deterioration of NorthPoint's business" was their sole reason for the termination: "Bob Varettoni, a Verizon spokesman, said the company had no comment on NorthPoint's new funding. Varettoni repeated Verizon's position that calling off the acquisition was based solely on the deterioration of NorthPoint's business."

The entire Bloomberg report can be seen here

Then, about three months after Verizon's spokesman was quoted in this report, Verizon filed a motion and counter-claim against NorthPoint for fraud, which you successfully challenged, so that motion was stayed.

About the same time that Verizon attempted the counter-claim, they also filed their answer to your 2nd Amended Complaint (case 317249). In their "answer", their 12th Affirmative Defense claims "fraud" by NorthPoint.

Ms. Schoenmann, can Verizon "change their mind" a year after terminating the merger? For a year they repeatedly (and publicly) stated that they terminated the merger "..solely on the deterioration in NorthPoint's business". Now, they appear to be saying that they terminated the merger because NorthPoint committed fraud.

Even a non-lawyer (such as I) can see that it would be at least 10 times more difficult for you to prosecute NorthPoint's lawsuit against Verizon if you are obliged to deal with an endless mountain of supposed "fraud" defenses from Verizon, instead of just dealing with the original reasons that Verizon gave for terminating the merger.

Our (informal) Shareholder's Group would be grateful if you will tell us if the "nature" of NorthPoint's case has changed because of Verizon's new-found, supposed "awareness" of fraud that they did not even mention for a year after they terminated the merger. We look forward to your response and we continue to appreciate and support your efforts in prosecuting NorthPoint's claims against Verizon.

XXXX XXXXXXX, Member
The (informal) NorthPoint Shareholder's Group
(256 Members with collective ownership of 9.8 million shares of NorthPoint [NPNTQ]).

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