Oppenheimer Rochester Municipals Fund

March 30, 2009 (Chestnut Ridge, New York) —

The law firm of Kantrowitz, Goldhamer & Graifman, P.C., announced today that it has filed a class action complaint in the U.S. District Court for the District of Colorado against Oppenheimer Rochester National Municipals Fund (the “Fund”) (NASDAQ: ORNAX – News) (NASDAQ: ORNBX – News) (NASDAQ: ORNCX – News) on behalf of all persons who purchased Class A and/or Class B and/or Class C shares of the Fund pursuant to various Registration Statements and Prospectuses issued by the Fund beginning with the registration statement and prospectus issued on or about September 27, 2006 and through disclosure of the truth about the Fund on October 21, 2008, inclusive (the “Class Period”).

The complaint alleges that the Fund and certain of its trustees and officers and also Oppenheimer Funds, Inc., and Oppenheimer Funds Distributor, Inc. violated sections of the Securities Act of 1933, which prohibits materially false and misleading statements in registration statements and prospectuses of the kind used to sell shares in The Fund.

According to the complaint, during the Class Period the Fund concealed various risks in the way the Fund’s investments, including, but not limited to, risks associated with the Fund’s use of derivative type instruments called “inverse floaters” and the Fund’s over concentration of investments in illiquid securities in violation of its cap of 15% in such securities by investing an inordinate amount of its portfolio in illiquid tobacco bonds and ordinary municipal bonds/notes that could turn illiquid quickly.

According to the Fund’s registration statement and prospectuses, the Fund would invest no more than 15% of its assets in illiquid securities, which are securities that do not trade in any active market and are riskier because the Fund may not be able to sell the securities at the desired price, if at all. The complaint alleges that contrary to its representations, the Fund invested 25% of its holdings in illiquid tobacco bonds. In addition, the Fund failed to disclose that as much as 20% of its assets were invested in derivative instruments known as “inverse floaters” which, under certain conditions, could (and did) effectively force the Fund to sell securities from its portfolio regardless of market conditions. In or around October 2008, the Fund filed a prospectus supplement alerting investors of the true risks of its investments – the same risks that existed in 2006, 2007, and throughout 2008. By October 2008, however, those risks had already manifested, dealing substantial losses to investors.

As a result of the Funds disclosures in October 2008 , the Fund lost approximately 40% of its net asset value. The Fund was crowned “The Biggest Loser in its Category last year” by Fund analyst Morningstar, Inc., as reported in a January 29, 2009 article by Thompson Reuters PLC, after losing 49% percent of its value in 2008 due to, among other reasons, its investment in tobacco bonds.

Plaintiff seeks to recover damages on her own behalf and on behalf of the Class and is represented by the law firm of Kantrowitz, Goldhamer & Graifman, P.C. The firm has significant experience successfully prosecuting complex securities fraud class actions on behalf of defrauded investors.

If you engaged in transactions of Oppenheimer Rochester National Municipal Fund securities during the Class Period, you may, not later than May 12, 2009, move the court to be appointed as lead plaintiff. In order to serve as lead plaintiff, however, you must meet certain legal requirements.

If you wish to discuss this action or have any questions concerning this notice or your rights or interests with respect to this matter, please contact: Gary S. Graifman, Esq., at Kantrowitz, Goldhamer & Graifman, P.C., toll-free at (800) 711-5258 or via email at [email protected]or by writing to:
Kantrowitz, Goldhamer & Graifman, P.C.
747 Chestnut Ridge Road,
Chestnut Ridge, New York 10977


Gary S. Graifman, Esq.

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