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Case Status:    SETTLED
On or around 10/07/2005 (Date of order of final judgment)

Filing Date: October 04, 2001

By the Order and Final Judgment entered on October 7, 2005, the settlement is approved and the complaint is dismissed with prejudice. Further, the Plan of Allocation is approved and Plaintiffs’ Counsel is awarded 33 1/3% of the Gross Settlement Fund in fees, and $1,093,847 in reimbursement of expenses

According to a press release dated September 23, 2005, Duquesne Light Holdings Inc. (f/k/a DQE, Inc.) has reached a $12 million settlement in a securities fraud, class action lawsuit over whether the company and its former chairman, CEO and president made false or misleading statements about its financial condition and prospects. The agreement covers those who bought common stock between Dec. 6, 2000, and April 30, 2001. About 11.22 million DQE shares traded during that time, and stockholders who submit claims should recover about $1.07 per share. Final approval of the settlement could come at an Oct. 7 hearing in U.S. District Court in Pittsburgh.

As summarized by the Notice of Proposed Settlement of Class Action, dated August 11, 2005, on or about October 4, 2001, the first of five substantially similar putative class action complaints was filed against Defendants. On February 8, 2002, the Court issued an Order consolidating the five cases and appointing movants John C. Hynes, Anton Klaver and Town of Danversthorpe Corpus Fund as Lead Plaintiffs for the putative class. On April 15, 2002, Plaintiffs filed a Second Consolidated Amended Complaint (the “Complaint”). On or about May 24, 2002, Defendants moved to dismiss the Complaint. On August 29, 2002, after extensive briefing by both sides, Magistrate Judge Robert C. Mitchell issued a Report and Recommendation recommending that the Court deny the motion. Thereafter, on October 18, 2002, the Court issued an Order adopting the Report and Recommendation and denying the motion. On December 23, 2002, Defendants answered the Complaint. On December 12, 2002, Plaintiffs moved to certify the proposed class and sub-class and to appoint class representatives. After discovery, extensive briefing and a hearing, Magistrate Judge Mitchell issued a Report and Recommendation on April 14, 2003 recommending that the Court grant Plaintiffs’ motion to certify the proposed class and sub-class. Thereafter, on May 20, 2003, the Court issued an Order adopting Magistrate Judge Mitchell’s Report and Recommendation and granting Plaintiffs’ motion to certify the proposed class and sub-class. On February 18, 2005, after the completion of fact and expert discovery, Defendants moved for summary judgment on all of Plaintiffs’ claims. Prior to the time Plaintiffs were required to respond to that motion, the parties agreed to the settlement.

The original class action complaint filed alleged that defendants violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, and Rule 10b-5 promulgated thereunder, by issuing a series of material misrepresentations to the market between December 6, 2000 and April 30, 2001, thereby artificially inflating the price of DQE securities. The complaint alleges that, throughout the Class Period, DQE issued positive statements concerning the significant and positive impact that DQE Enterprises, Inc. (“DQE Enterprises”), the Company's investment subsidiary, was having, and would continue to have, on DQE's financial results. During this time, the market for initial public offerings had dramatically slowed down. Accordingly, the ability of the companies in DQE Enterprises' investment portfolio to go public was substantially impaired. Defendants, however, issued a stream of positive statements concerning the Company's operations and prospects, but failed to disclose the impaired nature of DQE Enterprises' investments and that the Company would not realize the investment gains that defendants had caused the market to expect. As a result, defendants' estimates, projections and opinions as to the Company's operations, products, earnings and income were knowingly lacking in a reasonable basis at all relevant times. This information finally became publicly known on April 30, 2001, when DQE reported its earnings for the first quarter of 2001 and revised its earnings outlook for the full year, based in part, on the weakened outlook for DQE Enterprises. In response to this negative announcement, when trading resumed on May 1, 2001, the price of DQE common stock dropped from $30.43 per share to $23.75 per share on extremely heavy trading volume.

COMPANY INFORMATION:

Sector: Utilities
Industry: Electric Utilities
Headquarters: United States

SECURITIES INFORMATION:

Ticker Symbol: DQE
Company Market: New York SE
Market Status: Public (Listed)

About the Company & Securities Data


"Company" information provides the industry and sector classification and headquarters state for the primary company-defendant in the litigation. In general, "Securities" information provides the ticker symbol, market, and market status for the underlying securities at issue in the litigation.

In most cases, the primary company-defendant actually issued the securities that are the subject of the litigation, and the securities information and company information relate to the same entity. In a small subset of cases, however, the primary company-defendant is not the issuer (for example, cases against third party brokers/dealers), and the securities information and company information do not relate to the same entity.
COURT: W.D. Pennsylvania
DOCKET #: 01-CV-1851
JUDGE: Magistrate Judge Robert C. Mitchell
DATE FILED: 10/04/2001
CLASS PERIOD START: 12/06/2000
CLASS PERIOD END: 04/30/2001
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Alfred G. Yates, Jr. Law Firm
    429 Forbes Avenue, 519 Allegheny Building, Alfred G. Yates, Jr. Law Firm, PA 15219
    412.391.5164 ·
  2. Bernard M. Gross
    1500 Walnut Street, Suite 600, Bernard M. Gross, PA 19102
    215.561.3600 215.561.3000 · bmgross@BernardMGross.com
  3. Cauley Geller Bowman Coates & Rudman LLP (Little Rock, AR)
    P.O. Box 25438, Cauley Geller Bowman Coates & Rudman LLP (Little Rock, AR), AR 72221-5438
    501.312.8500 501.312.8505 ·
  4. Law Offices of Charles J. Piven, P.A.
    World Trade Center-Baltimore,401 East Pratt Suite 2525, Law Offices of Charles J. Piven, P.A., MD 21202
    410.332.0030 · pivenlaw@erols.com
  5. Milberg Weiss Bershad Hynes & Lerach LLP (New York, NY)
    One Pennsylvania Plaza, Milberg Weiss Bershad Hynes & Lerach LLP (New York, NY), NY 10119-1065
    212.594.5300 ·
  6. Schiffrin & Barroway LLP
    3 Bala Plaza E, Schiffrin & Barroway LLP, PA 19004
    610.667.7706 610.667.7056 · info@sbclasslaw.com
  7. Stull, Stull & Brody (New York)
    6 East 45th Street, Stull, Stull & Brody (New York), NY 10017
    310.209.2468 310.209.2087 · SSBNY@aol.com
  8. Wechsler Harwood LLP
    488 Madison Avenue 8th Floor, Wechsler Harwood LLP, NY 10022
    212.935.7400 · info@whhf.com
  9. Weiss & Yourman (New York, NY)
    The French Building, 551 Fifth Ave., Suite 1600, Weiss & Yourman (New York, NY), NY 10126
    212.682.3025 212.682.3010 · info@wyca.com
No Document Title Filing Date
COURT: W.D. Pennsylvania
DOCKET #: 01-CV-1851
JUDGE: Magistrate Judge Robert C. Mitchell
DATE FILED: 04/15/2002
CLASS PERIOD START: 12/06/2000
CLASS PERIOD END: 04/30/2001
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Cauley Bowman Carney & Williams, PLLC (Little Rock)
    11001 Executive Center Drive, Suite 200, Cauley Bowman Carney & Williams, PLLC (Little Rock), AR 72211
    501.312.8500 888.551.9944 · info@cauleybowman.com
  2. Milberg Weiss Bershad & Schulman LLP (New York)
    One Pennsylvania Plaza, 49th Floor, Milberg Weiss Bershad & Schulman LLP (New York), NY 10119
    212.594.5300 212.868.1229 · info@milbergweiss.com
  3. Milberg Weiss Bershad Hynes & Lerach LLP (New York, NY)
    One Pennsylvania Plaza, Milberg Weiss Bershad Hynes & Lerach LLP (New York, NY), NY 10119-1065
    212.594.5300 ·
  4. WeissLaw LLP
    551 Fifth Avenue, Suite 1600, WeissLaw LLP, NY 10176
    212.682.3025 212.682-3010 · info@wllawny.com
No Document Title Filing Date