BALTIMORE, Jan. 17 – LAWFUEL -The Law News Network — A multi-national notification program began today, as ordered by the United States District Court for the District of Maryland, to alert investors, brokers, financial institutions and other
nominees who bought or received as a dividend Royal Ahold N.V. common stock
and/or American Depository Receipts (ADRs) from July 30, 1999 through February
23, 2003 about a USD $1.1 billion settlement of a class action lawsuit against
Royal Ahold and numerous co-defendants.
On February 24, 2003, Royal Ahold announced that it had inflated earnings
by at least $500 million based on conduct at Ahold’s wholly-owned U.S.
Foodservice, Inc. subsidiary. On February 24, 2003, Ahold also informed
investors that Ahold would restate previously announced revenues that it
improperly consolidated from certain joint ventures. Following Ahold’s
February 24, 2003 announcement, the value of Ahold common stock and ADRs
declined in value by more than 60%.
According to the class action lawsuit, Ahold eventually announced
restatements exceeding $24 billion in revenues and $1.1 billion in income.
The lawsuit alleged that the defendants’ conduct presented a misleading
financial picture of Ahold to investors, and artificially inflated the price
of Ahold’s common stock and ADRs during the period from July 30, 1999 through
February 23, 2003.
The Court defined “Class Members” in the Settlement to include all people
and entities who bought or received as a dividend Royal Ahold N.V. common
stock and/or ADRs from July 30, 1999 through February 23, 2003, regardless of
where such people live or purchased their shares of Royal Ahold.
Notices informing Class Members about their legal rights will be mailed,
and are scheduled to appear in publications in approximately 24 countries and
14 languages, leading up to a hearing on June 16, 2006, when the Court will
consider whether to approve the Settlement.
In November 2003, the Court appointed the law firm of Entwistle & Cappucci
LLP, of New York, NY to represent the Class. That firm has been litigating
this case known as In re Royal Ahold Securities and “ERISA” Litigation, MDL
1539 since that time, and they negotiated the Settlement.
Those affected by this Settlement can send in a claim form to ask for a
payment, or they can ask to be excluded from, or object to, the Settlement and
its terms. The deadline for exclusions and objections is May 12, 2006.
Payment amounts will depend on the number of valid claim forms that Class
Members send in, how many shares of Ahold stock they bought or received as a
dividend, and when they bought and sold them. The deadline to file claims is
August 18, 2006.
Toll-free telephone numbers have been established in numerous countries,
along with a Web site, http://www.AholdSettlement.com , where notices, the
claim form, the Plan of Allocation and the Settlement Agreement may be
obtained. Those affected may also write to Ahold Claims Administrator, PO Box
9000 #6378, Merrick, NY 11566-9000, USA.
Country Toll Free Number
Australia 0011 800 1020 4060
Austria 00 800 1020 4060
Belgium 00 800 1020 4060
Canada 1 888 410 0027
Denmark 00 800 1020 4060
England 00 800 1020 4060
Finland 00 800 1020 4060
France 00 800 1020 4060 (France Telecom)
40 800 1020 4060 (TELE 2)
50 800 1020 4060 (Omnicom)
70 800 1020 4060 (Le 7 Cegetel)
90 800 1020 4060 (9 Telecom)
Germany 00 800 1020 4060
Hong Kong 00 800 1020 4060
Ireland 00 800 1020 4060
Italy 00 800 1020 4060
Japan 00 800 1020 4060
Liechtenstein 809 2288, then when prompted
enter 800 467 8208
Luxembourg 00 800 1020 4060
Netherlands 00 800 1020 4060
Norway 00 800 1020 4060
Portugal 00 800 1020 4060
Scotland 00 800 1020 4060
Singapore 001 800 1020 4060 (Singtel IDD)
002 800 1020 4060 (MobileONE IDD)
008 800 1020 4060 (Starhub IDD)
013 800 1020 4060 (Singtel Budget Call)
018 800 1020 4060 (Starhub I-Call)
019 800 1020 4060 (Singtel V019)
Spain 00 800 1020 4060
Sweden 00 800 1020 4060
Switzerland 00 800 1020 4060
United States 1 888 410 0027
From any other country, Class Members may place a toll call to the Claims
Administrator in the U.S. by calling +1-941-906-4864.
