According to the docket dated March 11, 2003, on August 30, 2001, the Court entered the Order by U.S. District Judge William H. Alsup certifying the settlement class, approving the class settlement, and awarding fees and expenses. Further, on September 5, 2001, the Court entered in the Order and Final Judgment dismissing the case. Earlier, Judge Alsup issued the Order preliminarily approving the settlement on May 25, 2001.

On February 10, 2000, the defendants filed motions to dismiss the Consolidated Complaint, on which the Court entered an order a) dismissing all claims against certain Individual Defendants, without leave to amend; b) dismissing all claims relating to the time period prior to May 27, 1998; c) denying the motion to dismiss as to various forward-looking statements allegedly made by the Company between May 27, 1998 and January 28, 1999; and d) limiting the class period for which claims may be asserted to the same time period. A First Amended Complaint was filed on June 12, 2000.

The original Complaint charges that defendants violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10-b(5) by, among other things, issuing false and misleading statements regarding PeopleSoft's 1996, 1997 and 1998 financial results. Specifically, the complaint alleges that defendants, directly and indirectly engaged in a plan and course of conduct, pursuant to which defendants knowingly or recklessly engaged in acts, transactions, practices, and courses of business that operated as a fraud and deceit upon plaintiff and the other members of the Class; made various untrue statements of material fact and omitted to state material facts necessary in order to make the statements made, in light of the circumstances under which they were made, not misleading; and employed devices and artifices to defraud in connection with the purchase and sale of securities, which were intended to, and, throughout the Class Period, did: (i) deceive the investing public, including plaintiff and other Class members, regarding, among other things, (a) the actual and expected revenues and profits of PeopleSoft, (b) the accuracy of PeopleSoft's financial statements issued during the Class Period; (ii) artificially inflate and maintain the market price of PeopleSoft securities; and (iii) cause plaintiff and other members of the Class to purchase PeopleSoft securities at artificially inflated prices.