AUSWR
The Association of U S West Retirees
 

 

 

Qwest settles remaining suits claiming stock-price inflation 
By Tom McGhee
Denver Post
Wednesday, October 31, 2007


Qwest has settled all the remaining shareholder lawsuits that accused the company of inflating its stock price in 2001.

The company has agreed to pay up to $411 million, including interest, on or before June 30, to settle the suits, Qwest chief financial officer John Richardson said Tuesday.

The company took a $353 million charge against earnings as a result.

"Putting this uncertainty behind us is a significant milestone for Qwest," chief executive Ed Mueller told analysts during the company's third-quarter conference call.

Qwest settled for $400 million an earlier group of class-action suits alleging accounting fraud.

Plaintiffs who agreed to Tuesday's announced settlement opted out of the earlier one.  The names of those plaintiffs weren't immediately available.

Tom McGhee: 303-954-1671 or tmcghee@denverpost.com

http://www.denverpost.com/business/ci_7324648