Investor Alert: KGS Announces That ACA Capital Holdings, Inc. Investors May Now Request Lead Plaintiff Position in Securities Class Action Lawsuit

NEW ORLEANS, Nov. 22, 2007 LAWFUEL – The Litigation Newswire — Kahn Gauthier Swick, LLC
(“KGS”) announces that shareholders of ACA Capital Holdings, Inc. (“ACA Capital” or the “Company”) (NYSE:ACA) who purchased shares of the Company in connection with its Initial Public Offering (“IPO”) on or about November 10, 2006, or who purchased shares thereafter in the open market, have 59 days from today to move for appointment as Lead Plaintiff in a securities class action lawsuit currently pending in the United States District Court for the Southern District of New York. No class has yet been certified in this action.


If you purchased shares of ACA Capital in connection with the IPO or if you purchased shares thereafter in the open market, you are urged to contact Lewis Kahn, Managing Partner, KGS, toll free 1-866-467-1400, ext. 100, via cell phone at 504-301-7900, or by email at to learn about your legal rights and how this action may benefit you. For further information on KGS, please visit

ACA Capital and certain of its officers and directors — collectively, “defendants” — are charged with including, or allowing the inclusion of, materially false and misleading statements in the Registration Statement and Prospectus issued in connection with the IPO, in violation of the Securities Act of 1933.

If you wish to serve as lead plaintiff in this class action lawsuit, you must move the Court 59 days from today. Any member of the purported class may move the Court to serve as lead plaintiff through counsel of their choice, pursuant to the Private Securities Litigation Reform Act (“PSLRA”), or may choose to do nothing and remain an absent class member. If you would like to discuss your legal rights, you may e-mail or call KGS Managing Partner Lewis Kahn, without obligation or cost to you, toll free 1-866-467-1400, ext. 100, via cell phone 504-301-7900, or by email at To learn more about KGS, you may visit KGS focuses its practice on securities class action litigation, and has been appointed lead counsel in numerous federal securities class actions.

SPECIAL NOTICE: Courts will generally appoint only one law firm to prosecute a securities class action on behalf of the shareholders based upon the amount of losses its “lead plaintiffs” have suffered.
Accordingly, while KGS urges you to sign up with the firm, KGS also encourages you to carefully evaluate any other firm you may consider to represent your interests in the ACA Capital class action, including the law firm that filed the first lawsuit against ACA today, should you be considering another firm. Critical components of a law firm’s ability to successfully prosecute this action and obtain a strong recovery for you include the resources it will dedicate to prosecution of the case, including the number of lawyers the firm has available for the ACA Capital action in particular, AND especially the quality of the firm’s work. Interested shareholders are encouraged to call for consultation and to request more information about KGS.

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