Lerach Coughlin Stoia Geller Rudman & Robbins LLP Files Class Action Suit Against U.S. Auto Parts Network, Inc.

SAN DIEGO--Lerach Coughlin Stoia Geller Rudman & Robbins LLP (“Lerach Coughlin”) (http://www.lerachlaw.com/cases/usautoparts/) today announced that a class action has been commenced in the United States District Court for the Central District of California on behalf of all persons or entities who acquired the common stock of U.S. Auto Parts Network, Inc. (“U.S. Auto Parts”) pursuant to the Company’s Registration Statement and Prospectus (collectively, the “Registration Statement”) issued in connection with its February 8, 2007 initial public offering (“IPO”).

If you wish to serve as lead plaintiff, you must move the Court no later than 60 days from today. If you wish to discuss this action or have any questions concerning this notice or your rights or interests, please contact plaintiff’s counsel, William Lerach or Darren Robbins of Lerach Coughlin at 800-449-4900 or 619-231-1058, or via e-mail at wsl@lerachlaw.com. If you are a member of this class, you can view a copy of the complaint as filed or join this class action online at http://www.lerachlaw.com/cases/usautoparts/. Any member of the purported class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member.

The complaint charges U.S. Auto Parts and certain of its officers and directors with violations of the Securities Act of 1933. U.S. Auto Parts is an online provider of aftermarket auto parts, including body parts, engine parts, performance parts and accessories.

The complaint alleges that on February 8, 2007, U.S. Auto Parts accomplished its IPO of 10 million shares at $10.00 per share (including 8 million shares sold by U.S. Auto Parts and 2 million shares sold by stockholders, including certain of the defendants) for net proceeds of $100 million, pursuant to the false and misleading Registration Statement. The Registration Statement failed to disclose that U.S. Auto Parts was having difficulty with its acquisition of PartsBin – a company it acquired in May 2006 – which would adversely affect its fourth quarter 2006 and first quarter 2007 results. Due to defendants’ positive but false statements, by March 2007 the stock was trading around $11 per share.

Then on March 20, 2007, after the market closed, U.S. Auto Parts issued a press release announcing disappointing fourth quarter 2006 and year end results. On this news, U.S. Auto Parts’ stock price collapsed in one day from $11.07 per share on March 20, 2007 to close at $6.49 per share on March 21, 2007.

The true facts which were omitted from the Registration Statement were as follows: (a) the Company was having difficulty with the integration of PartsBin due in large part to the different distribution methods utilized by U.S. Auto Parts and PartsBin to fill customer orders; (b) PartsBin was suffering from certain internal control deficiencies which caused or led to at least the following problems for U.S. Auto Parts: (i) the Company was having trouble filling customer orders under its drop-ship distribution system and was required to issue credits to its customers for out-of-stock products that it had previously recorded as sales; and (ii) the products offered via the drop-ship distribution method generated lower product margins than the products offered under the stock-and-ship distribution method, which further eroded and would continue to erode U.S. Auto Parts’ already suffering margins; and (c) the Company had experienced a disastrous fourth quarter which would result in disappointing 2006 results.

Plaintiff seeks to recover damages on behalf of all persons or entities who acquired the common stock of U.S. Auto Parts pursuant to the Company’s false and misleading Registration Statement issued in connection with its February 8, 2007 IPO (the “Class”). The plaintiff is represented by Lerach Coughlin, which has expertise in prosecuting investor class actions and extensive experience in actions involving financial fraud.

Lerach Coughlin, a 180-lawyer firm with offices in San Diego, San Francisco, Los Angeles, New York, Boca Raton, Washington, D.C., Houston, Philadelphia and Seattle, is active in major litigations pending in federal and state courts throughout the United States and has taken a leading role in many important actions on behalf of defrauded investors, consumers, and companies, as well as victims of human rights violations. Lerach Coughlin lawyers have been responsible for more than $20 billion in aggregate recoveries. The Lerach Coughlin Web site (http://www.lerachlaw.com) has more information about the firm.