Popular, Inc., through its subsidiaries, offers a range of retail and commercial banking products and services in Puerto Rico and the United States.

According to a press release dated May 14, 2009, the Complaint charges Popular and certain of its officers with violations of the Exchange Act. The Complaint alleges that throughout the Class Period, Defendants failed to disclose material adverse facts about the Company’s true financial condition, business and prospects. Specifically, the Complaint alleges that Defendants failed to disclose the following adverse facts, among others: (i) that Popular’s deferred tax assets related to its U.S. operations were materially overstated; (ii) that the Company was experiencing increasing loan losses in Puerto Rico and the U.S. construction sectors; (iii) that the quality of Popular’s remaining mortgage-related loans in its U.S. mainland portfolios and other assets were deteriorating and were materially overstated; (iv) that the Company was experiencing a higher percentage of non-performing loans; (v) that Popular’s new loan originations were declining; and (vi) as a result of the foregoing, the Company would soon be facing liquidity concerns and would be forced to cut or eliminate paying a dividend to shareholders.

On January 22, 2009, Popular announced its financial results for the fourth quarter and year end of 2008, the period ended December 31, 2008. For the quarter, the Company reported a net loss of $702.9 million, citing to a higher provision for loan losses, among other things. In response to this announcement, shares of the Company’s common stock fell $2.52 per share, or 50%, to close at $ 2.46 per share, on heavy trading volume.

On October 1, 2009, an order for consolidation was entered into the court record. The parties were given until October 8, 2009 to consent to or oppose the proposed consolidation.

On October 19, 2009, a Consolidated Class Action Complaint was filed by the lead Plaintiffs against the Defendants.

On November 13, 2009, the Court established the following leadership structure for this action: (A.) Plaintiff Ruben Garcia was duly appointed lead Plaintiff; (B.) Scott+Scott LLP was duly appointed lead Counsel (C.) Luis E. Miñana & Associates are duly appointed liaison Counsel; and (D.) All subsequently filed shareholder derivative actions against Defendants in this Court arising from the same allegations will be consolidated under this case pursuant to Federal Rules of Civil Procedure Rule 42(a) and are subject to this Order.

On November 18, 2009, an order to consolidate any subsequently filed related actions and appoint lead Counsel to Magistrate Judge McGiverin for disposition was entered into the court’s docket.

According to a press release dated January 27, 2011, Popular, Inc. (Nasdaq: BPOP) announced today that it and the other named Defendants have entered into two memoranda of understanding in connection with the settlement of five putative securities class actions filed in the United States District Court for the District of Puerto Rico and the Puerto Rico Court of First Instance, San Juan Part.