Motorola Solutions Inc. (MSI) has agreed to pay $200 million to
settle a shareholder lawsuit brought in 2007 which charged the
company with artificially inflating it stock price, the Chicago
Tribune reported Thursday on its website.
Plaintiffs in the suit, led by Macomb County Employees'
Retirement System and St. Clair Shores Police and Fire Pension
System, had alleged the company artificially inflated its stock by
misrepresenting projected revenue for the third and fourth quarters
of 2006.
The settlement offer is subject to court approval.
"We're pleased to have this behind us as it removes the risk and
distraction of this litigation," Motorola spokesman Nicholas Sweers
told the newspaper. "It also enables us to continue to focus on
delivering mission-critical communications solutions to government
and enterprise customers."
Samuel Rudman, an attorney for the plaintiffs, in a statement
said "The settlement represents an extraordinary recovery for
investors in a case where there was no financial restatement or
(Securities and Exchange Commission) investigation.
"Our clients deserve all the credit. They alone sought to
represent the class and they led the investigation and prosecution
of the action from start to finish on behalf of Motorola
shareholders," he said.
Full story at:
www.chicagotribune.com/business/breaking/chi-motorola-solutions-settles-securities-fraud-suit-for-200m-20120202,0,5139122.story
-Dow Jones Newswires; 212-416-2900