NOTABLE CASES

Wilmington Trust Shareholder Settlement Legally Set at $210 Million

POSTED AUGUST 17, 2018

SETTLEMENT AMOUNT

$210 Million

($200 Million paid by Wilmington Trust and/or its underwriters; $10 Million paid by KPMG)

COURT

USDC – Delaware

CLAIM DEADLINE

November 26, 2018

CASE SUMMARY

The complaint alleges that, throughout the Class Period, defendants issued materially false and misleading statements regarding the Company’s business and financial results. Specifically, defendants failed to disclose: (i) that the Company improperly delayed recording loan charge offs; (ii) that the Company’s reported income and asset quality were materially overstated due to defendants’ material understatement of Wilmington’s loan loss provisions, loan loss reserves and income tax expense; (iii) that as a result of the foregoing, the Company’s financial statements were materially false and misleading and not fairly presented in conformity with Generally Accepted Accounting Principles; (iv) that the Company’s internal and disclosure controls were materially deficient; (v) that the Company was engaged in unsafe and/or unsound banking practices; and (vi) that based on the foregoing, defendants lacked a reasonable basis for their positive statements about the Company, its prospects and growth.

On November 1, 2010, Wilmington announced it lost $365.3 million in the third quarter of 2010, the quarter ended September 30, 2010, primarily as a result of a $281.5 million charge to “reflect the increased risk in our loan portfolio” and a $100.7 million income tax charge resulting from the Company’s continued losses and the uncertainty about the reliability of Wilmington’s deferred tax asset due to the poor credit quality of it loan portfolio.

CLASS DEFINITION

1 On behalf of: 1) all persons or entities who purchased or otherwise acquired Wilmington Trust Corporation (“Wilmington” or the “Company”) common stock during the period January 18, 2008 up to November 1, 2010; and/or 2) all persons or entities who purchased shares of Wilmington Trust common stock issued in the secondary common stock offering that occurred on or about February 23, 2010, pursuant to the Registration Statement, as amended (“Secondary Common Stock Offering”).

CLASS PERIOD

January 18, 2008 – November 1, 2010

FILING DATE

November 18, 2010

(only 3 years to settle – fairly quick for this large dollar amount)

CLAIM ADMINISTRATOR

Epiq Systems, Inc.

LEAD COUNSEL

Bernstein Litowitz Berger & Grossmann, LLP
Saxena White, P.A.

INSTITUTIONAL LEAD PLAINTIFF

Coral Springs Police Pension Fund, St. Petersburg Firefighters’ Retirement System, Pompano Beach General Employees Retirement System, Merced County Employees’ Retirement Association, and Automotive Industries Pension Trust Fund

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