New York Stock Exchange Chumps

ADVO Inc. (AD)

Last Trade: 28.59

Change: Down 8.21 (22.31%)

Shares of Advo Inc., a direct-mail marketing company, fell as much as 40 percent after Valassis Communications Inc. asked a judge to rescind its $1.3 billion purchase of the company, citing breach of contract.

Advo shares lost $10.42, or 28 percent, to $26.38 at 9:23 a.m. in trading before U.S. markets opened, and earlier fell to $22.19. They had climbed 31 percent this year before today.

Valassis, the largest provider of newspaper inserts, said in a complaint filed late yesterday in Delaware Chancery Court that Advo misrepresented material facts about its financial health, Livonia, Michigan-based Valassis said in a PR Newswire statement. The complaint was filed under seal.