Micron settles direct purchaser class-action suit
Micron Technology, Inc., announced that it reached a settlement agreement with a class of direct purchasers of certain DRAM products. The settlement dismisses Micron from a class-action suit filed in federal district court against the DRAM industry asserting claims on behalf of a class of individuals and entities that purchased DRAM directly from DRAM suppliers during the period from April 1, 1999, through June 30, 2002.
The litigation arose following a 2002 U.S. Department of Justice inquiry into the DRAM industry.The settlement's effect upon the Company's first quarter of fiscal 2007 results of operations and financial position will be provided in the Company's Form 10-Q, which is expected to be filed with the U.S. Securities and Exchange Commission on Jan. 16.
It is expected that the settlement will result in a reduction of the Company's first quarter of fiscal 2007 earnings previously reported on Dec. 21, 2006, in an amount not to exceed $80 million.The agreement is subject to approval by the U.S. District Court for the Northern District of California. The Company continues to defend various other cases filed on behalf of purported indirect purchasers of DRAM and on behalf of various states through their Attorneys General.
