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General Electric has agreed to pay shareholder groups $40 million to settle one of the few shareholder lawsuits over 2008-financial-crisis disclosures to survive motions to dismiss, Reuters reports.
The suit alleges that GE, which in March 2009 lost its "AAA" credit rating from Standard & Poor's and cut its dividend 68%, hid billions of dollars of troubled loans at its GE Capital unit and failed to make necessary disclosures when conducting a $12.2 billion stock offering in October 2008. It seeks class action status for investors who held GE common stock between Sept. 25, 2008 and March 19, 2009.
Read the full article from Reuters here.
(Photo credit: Wikipedia)
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