Cohen, Milstein, Hausfeld & Toll, P.L.L.C. Announces Settlement of Lucent Technologies Securities Class Action Litigation.Business Editors/Legal Writers WASHINGTON--(BUSINESS WIRE)--March 28, 2003 Cohen cohen or kohen (Hebrew: “priest”) Jewish priest descended from Zadok (a descendant of Aaron), priest at the First Temple of Jerusalem. The biblical priesthood was hereditary and male. , Milstein, Hausfeld & Toll, P.L.L.C., counsel for co-lead plaintiff The Parnassus Fund, a mutual fund located in San Francisco, California “San Francisco” redirects here. For other uses, see San Francisco (disambiguation). The City and County of San Francisco (EN IPA: [sænfrənˈsɪskoʊ] , announces that an agreement has been reached to settle the Lucent Technologies Inc. (NYSE NYSE See: New York Stock Exchange :LU) securities class action lawsuit class action lawsuit A lawsuit in which one party or a limited number of parties sue on behalf of a larger group to which the parties belong. For example, investors may bring a class action lawsuit against a brokerage firm that has actively promoted a tax pending in U.S. District Court for the District of New Jersey. At the same time, Lucent settled related ERISA See Employee Retirement Income Security Act. ERISA See Employee Retirement Income Security Act (ERISA). , Bond Holder, Derivative and state securities cases. Under the global agreement, Lucent will pay $315 million in common stock, cash or a combination of both, at the company's option. Lucent will also pay up to $5 million for the cost of settlement administration. Lucent will also issue 200 million warrants to purchase shares of common stock based on a valuation using a strike price of $2.75 with a 3 year expiration EXPIRATION. Cessation; end. As, the expiration of, a lease, of a contract, or statute. 2. In general, the expiration of a contract puts an end to all the engagements of the parties, except to those which arise from the non- fulfillment of obligations created term. In addition to the cash, stock and warrants that Lucent will contribute, certain of Lucent's insurance carriers have agreed to pay $148 million in cash into the total settlement fund. Lucent spinoff Spinoff A new, independent company created through selling or distributing new shares for an existing part of another company. Notes: Spinoffs may be done through a rights offering. Avaya will also contribute $26.5 million in cash or stock plus a percentage of the valuation of the warrants that will be issued. The vast majority of this global settlement fund will be used to compensate persons who purchased Lucent stock during the class period of October 26, 1999 - December 20, 2000. The balance will be paid to claimants in the various related cases. The Parnassus Fund's principal investment objective is long-term growth of capital. It bases its investment decisions on two primary factors: a company's financial strength and its environmental and social policies. It was selected by the District Court in 2001 to be a co-lead plaintiff in this lawsuit. The Fund's manager, Jerome L. Dodson, believes that given the circumstances Lucent has confronted over the past few years, this is a very reasonable settlement, and one which will allow Lucent investors to recover a portion of their losses. It also ends a complex litigation An action brought in court to enforce a particular right. The act or process of bringing a lawsuit in and of itself; a judicial contest; any dispute. When a person begins a civil lawsuit, the person enters into a process called litigation. that has been ongoing for a number of years and would have likely taken a few more years to complete. In addition, it gives investors the hope that Lucent can and will rebound, and that the securities portion of the settlement could appreciate in value once those shares are received. The Parnassus Fund's counsel - Cohen, Milstein, Hausfeld & Toll, P.L.L.C. - has significant experience in prosecuting investor class actions and actions involving financial fraud. The firm has offices in Washington, D.C., Seattle, Chicago and New York New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of and is active in major litigation pending in federal and state courts throughout the nation. You may visit the firm's website at www.cmht.com. If you have any questions about this notice or the action, or with regard to your rights, please contact either of the following:
Steven J. Toll, Esq. or
Joshua Devore, Esq.
Cohen, Milstein, Hausfeld & Toll, P.L.L.C.
1100 New York Avenue, NW
Suite 500 - West Tower
Washington, DC 20005
Telephone: 888-240-0775 or 202-408-4600
E-mail: stoll@cmht.com or jdevore@cmht.com.
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