Enron Securities Fraud Lawsuit

Allocation Plan, Dec. 2008
The federal district court approved the proposed allocation plan on Sep. 8, 2008. The deadline for investors to file claims to be included in the distribution of settlement funds was Nov. 10, 2008. Distribution of approximately $7 billion in recovered funds – the largest settlement in the history of securities class actions – to individual and institutional investors will begin in December 2008.

The court-approved plan outlines procedures to distribute the settlement proceeds. Eligible investors must have purchased Enron or Enron-related securities between Sep. 9, 1997, and Dec. 2, 2001. Under the terms of the plan, the actual recovery received by individual class members depends on the timing of their purchases and sales of Enron securities as well as other factors.

Investor questions? For more information, see the notice by Gilardi & Co., the court-appointed claims administrator, at www.gilardi.com/enron/securities, email classact@gilardi.com, or call (800) 961-2086 with any questions.

On Supreme Court rulings, January 2008
The Supreme Court ruled against the plaintiffs in the Stoneridge case, but its opinion rejected the rationale relied on by the Fifth Circuit Court of Appeals in its Enron decision. The Supreme Court also chose not to consider the investors' appeal of the Fifth Circuit Court ruling in the Enron case. While the Supreme Court's denial of the petition forecloses certification of the Enron class action on the specific theories presented to the Fifth Circuit Court, it does not end the Enron litigation. The Fifth Circuit Court ordered that the Enron case be sent back to the District Court in Houston for further appropriate proceedings. We are evaluating alternatives and will present them to the District Court in March.

Key Documents in the Enron Case
Sep. 2008 Allocation plan approved
May 2003 complaint
April 2002 complaint
Feb. 2002 lead plaintiff ruling

Remaining defendants and list of settlements
Background on the Enron case

Enron Lawsuit News
For media inquiries only: Trey Davis - trey.davis@ucop.edu

Jan. 23, 2009: UC seeks to amend its complaint in Enron securities fraud case

Dec. 18, 2008: UC begins distributing Enron settlement to victimized investors

Mar. 28, 2008: Motion against summary judgment to continue case against remaining bank defendants

Feb. 5, 2008: $11.5 million settlement with Goldman Sachs

Nov. 20, 2007: Lead Counsel files motion for preliminary approval of allocation                        plan > Memorandum in support of plan approval motion

Oct. 9, 2007: Supreme Court hears oral arguments in Stoneridge case                      > Factsheet on Enron and Stoneridge cases
                     > Transcript of oral arguments

July 27, 2007: UC announces plan to distribute recovered funds to defrauded                      Enron investors > Draft allocation plan

June 11, 2007: UC joins pension funds, state attorneys general, securities                      administrators urging Supreme Court to support investors

May 9, 2007: Enron investors urge SEC to hold banks accountable for                      securities fraud

Apr. 5, 2007: Enron investors seek Supreme Court review in securities case,                      seek right to sue banks responsible for fraud
                        > Petition > Appendix I > Appendix II

Dec. 20, 2006: Statement on court ruling about Alliance Capital costs

Sep. 26, 2006: Fastow testifies banks were masterminds behind Enron fraud
                        > Fastow's declaration

Sep. 21, 2006: $72.5 million settlement with Arthur Andersen LLP

Sep. 21, 2006: $13.5 million settlement with Kirkland & Ellis

Aug. 2, 2005: $2.4 billion settlement with CIBC

June 14, 2005: $2.2 billion settlement with JPMorgan Chase

June 10, 2005: $2 billion settlement with Citigroup

Jan. 7, 2005: $168 million settlement with Enron directors

Oct. 29, 2004: $222.5 million settlement with Lehman Brothers

July 2, 2004: $69 million settlement with Bank of America

Jan. 9, 2004: UC adds four more defendants to Enron fraud case
(Royal Bank of Canada, Millbank Tweed, Andrews & Kurth, Goldman Sachs)

Dec. 2, 2003: Toronto-Dominion Bank and Royal Bank of Scotland added as defendants in Enron suit > complaint

May 28, 2003: Judges order mediation in Enron bankruptcy and securities fraud cases; Enron and debtors to the table with shareholder plaintiffs and financial institutions in class action suit > Judge's order

May 14, 2003: UC files amended complaint following completion of judge's rulings on defendants' motions to dismiss; discovery in case can begin
> Amended complaint (653 p.)

Dec. 20, 2002: Federal court decides to keep most defendants in lawsuit.
> Ruling on keeping documents public
> Motion to dismiss ruling (306 p.)

Sep. 24, 26, 2002: UC files motions to keep Enron documents open to public, establish document depository procedure

Aug. 27, 2002: UC settles with Arthur Andersen's international firms

April 8, 2002: UC files amended complaint – Banks, law firms were pivotal in executing Enron securities fraud

Feb. 15, 2002: UC named lead plaintiff in Enron suit > Lead plaintiff ruling

Dec. 21, 2001: UC joins federal class action suit against Enron management and Arthur Andersen LLP. > Treasurer’s statement

Other UC Investment Lawsuit News
Feb. 28, 2007: $246 million settlement reached in AOL/Time-Warner fraud
April 6, 2006: UC-Citigroup reach $13.25 million settlement in WorldCom case
July 8, 2005:  Federal court approves Dynegy $474 million settlement