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Case Status:    SETTLED  
—On or around 12/28/2011 (Court's order of dismissal)
Current/Last Presiding Judge:  
Hon. Shira A. Scheindlin

Filing Date: November 05, 2008

Sadia S.A. is a major Brazilian food producer, primarily frozen food and meat-based products.

The original Complaint alleges that during the Class Period, Sadia entered into undisclosed currency derivative contracts to purportedly hedge against the Company's U.S. dollar exposure. The Company characterized the amounts of these contracts as "nominal." However, these contracts violated Company policy in that they were far larger than necessary to hedge normal business operations and resulted in a loss of $365 million. As a result of Defendants' admission of violating Company policy regarding currency hedging, the American Depository Receipts of Sadia closed at $9.50 per share, down from the previous day's close of $15.27, a decline of 38%.

On January 26, 2009, five related action were consolidated under 08 Civ. 9528. The Sadia Investor Group was appointed lead Plaintiff and the law firms of Saxena White P.A. and Barroway Topaz Kessler Meltzer & Check LLP were appointed co-lead Counsel. The Law Offices of Curtis V. Trinko, LLP was appointed as liaison Counsel for the Class. On March 16, 2009, the lead Plaintiffs filed a Consolidated Amended Complaint. On April 27, 2009, the Defendant filed a motion to dismiss the Consolidated Amended Complaint. On July 29, 2009, Judge Shira A. Scheindlin signed the Opinion and Order #97815 denying the motion to dismiss.

On December 14, 2009, the lead Plaintiff filed a motion to certify the class. The motion was granted on July 20, 2010. According to the Order, Plaintiffs' motion for class certification was granted, except that purchasers who sold shares prior to the close of the market on September 25, 2008 were excluded. The Defendants' motion for leave to appeal the district court's order granting Respondents' motion for class certification was denied on November 8, 2010. Settlement conferences were then commenced.

On May 27, 2011, certain Defendants filed a motion to dismiss. On June 20, 2011, a joint motion to dismiss was filed. On August 19, 2011, Judge Shira A. Scheindlin signed the Order of Discontinuance. The action was discontinued with prejudice but without costs; provided, however, that within 45 days of the date of this Order, Counsel for either side may apply by letter for restoration of the action to the calendar of the undersigned if the settlement is not effected, in which event the action will be restored. The Clerk of the Court was directed to close this case.

On September 16, 2011, the Plaintiff filed a motion to preliminarily approve the settlement, which was granted on September 23rd. The Settlement Fairness Hearing was set for December 22, 2011.

On December 28, 2011, the Court entered the Memorandum Opinion and Order signed by Judge Shira A. Scheindlin. According to the Order, Plaintiffs motion for Final Approval of Class Action Settlement and Plan of Allocation was granted. Class Counsels motion for an Award of Attorneys Fees and Expenses and an Award of Costs and Expenses to the Class Representatives was granted, but not for the amounts requested. This case, and all related cases, shall remain closed.

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