(The following press release from Royal KPN NV was received by e-mail. The
sender verified the statement.)
Press release: Tentative agreement reached on potential settlement KPNQwest
Date:19 November 2013
Tentative agreement reached on potential settlement KPNQwest
Royal KPN N.V. (“KPN”) has reached a tentative agreement on the principal
financial terms of a potential settlement of the litigation initiated by the
bankruptcy trustees of KPNQwest (the “trustees”). KPN’s cash contribution to
the potential settlement will be EUR 50 million.
The trustees commenced litigation against KPN, Qwest (which has been acquired
by CenturyLink) and certain former directors of KPNQwest related to the
bankruptcy of KPNQwest in 2002. The trustees claim mismanagement by KPNQwest
and in connection therewith hold KPN, as one of the shareholders, liable for
damages. The total claim of the trustees amounts to approximately EUR 2.2
KPN, CenturyLink and the trustees together reached a tentative agreement for a
total potential settlement of EUR 260 million, of which KPN will contribute EUR
50 million. The tentative agreement is subject to several conditions, including
the negotiation and execution of a definitive settlement agreement and the
approval of the Dutch bankruptcy court. After reaching a definitive settlement
agreement the trustees’ litigation will be terminated. Furthermore, KPN will
waive certain claims against the bankruptcy estate, which have been contested
by the trustees.
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