Colorado Public Employees' Retirement Association, Denver, is co-lead plaintiff in a securities class-action suit against Dutch firm Royal Ahold NV that was settled for $1.1 billion on Sunday. The $34 billion fund, along with Generic Trading of Philadelphia LLC, sued Zaandam, Netherlands-based Royal Ahold in U.S. District Court in Baltimore after the company admitted that income statements were inflated. The Colorado system in 2004 claimed losses of $16.2 million; its portion of the settlement has yet to be determined, said Katie Kaufmanis, spokeswoman. Lead plaintiffs will seek the court's preliminary approval of the settlement in January.
Royal Ahold revealed in 2003 that it had overstated its earning by about $500 million.The company agreed to pay $1.1 billion to settle all claims against it. Investors who bought Royal Ahold stock between July 30, 1999, and Feb. 23, 2003, will be repaid, according to the settlement agreement.
Nick Gale, Royal Ahold spokesman, did not return calls for comment by press time.