EarthLink
Settlement of Murray v. EarthLink Holdings Corp., et al.
No. 4:18-cv-00202-JM
The parties have reached a settlement of this action, pending in the United States District Court for the Eastern District of Arkansas. The settlement provides for the payment of $85 million for the benefit of eligible Settlement Class Members. Lead Plaintiff alleged that in connection with the February 27, 2017 merger of Windstream Services, LLC (“Windstream”) and EarthLink Holdings Corp. (“EarthLink”), Defendants violated the federal securities laws by, among other things, making false and/or misleading statements or omissions regarding Windstream’s business prospects and ability to pay dividends after the merger, Windstream’s compliance with a debt covenant in a senior notes indenture, and the nature of certain transactions relating to Windstream’s spin-off of the Uniti Group, Inc. Following the Merger, Windstream stock declined and EarthLink stockholders receiving Windstream shares in the Merger were allegedly harmed as a result.
The Settlement Class consists of: (i) all Persons or entities who acquired Windstream common stock in exchange for their shares of EarthLink in connection with the close of the Merger between EarthLink and Windstream on or about February 27, 2017, and were damaged thereby; (ii) all Persons or entities who held EarthLink common stock as of January 23, 2017, the record date for EarthLink stockholders in the Merger, and acquired Windstream common stock in exchange for their shares of EarthLink in connection with the close of the Merger on or about February 27, 2017, and were damaged thereby; and (iii) all Persons or entities who purchased or otherwise acquired Windstream common stock pursuant and/or traceable to the Offering Documents, and were damaged thereby. Excluded from the Settlement Class are Defendants and their immediate families, any entity in which a Defendant has a controlling interest, and the legal representatives, heirs, successors, or assigns of any such excluded party. Also excluded from the Settlement Class are all Persons and entities who timely and validly requested exclusion from the Settlement Class in accordance with the requirements set by the Court in connection with the Notice of Pendency and Proposed Settlement of Class Action and the legal representatives, affiliates, heirs, successors, or assigns of any such excluded Person.
The settlement was approved by the Court on February 6, 2025.
If you have any questions about the settlement or the litigation, please contact the Shareholder Relations Department at 1-800-449-4900.
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