Charter 2010 Annual Report Download - page 44

Download and view the complete annual report

Please find page 44 of the 2010 Charter annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 143

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143

                                         

Allen and that Charter’s bankruptcy filing was not necessary. e
defendants’ responded to that Complaint in February 2010 and filed
a motion to dismiss thereafter. In April 2010, the court entered an
order dismissing the Complaint, holding that Mr. Smith’s claims are
expressly released by the ird Party Release and Injunction within
Charter’s Plan of Reorganization. Mr. Smith has appealed. Herb
Lair, Iron Workers Local No. 25 Pension Fund et al. v. Neil Smit, Eloise
Schmitz, and Paul G. Allen (“Iron Workers Local No. 25”), was filed in
the United States District Court for the Eastern District of Arkansas
on June 1, 2009. Mr. Smit was the Chief Executive Officer and Ms.
Schmitz was the Chief Financial Officer of Charter. e plaintiffs,
who seek to represent a class of plaintiffs who acquired Charter
stock between October 23, 2006 and February 12, 2009, allege that
they and others similarly situated were misled by statements by Ms.
Schmitz, Mr. Smit, Mr. Allen and/or in Charter SEC filings. e
plaintiffs assert violations of the Securities Exchange Act of 1934. In
February 2010, the United States Bankruptcy Court for the Southern
District of New York held that these plaintiffs’ causes of action were
released by the ird Party Release and Injunction within Charter’s
Plan of Reorganization. Plaintiffs thereafter filed an appeal with the
United States District Court for the Southern District of New York.
Charter denies the allegations made by the plaintiffs in these matters,
believes all of the claims asserted in these cases were released through
the Plan and intends to seek dismissal of these cases and otherwise
vigorously contest these cases.
We also are party to other lawsuits and claims that arise in the
ordinary course of conducting our business. e ultimate outcome
of these other legal matters pending against us or our subsidiaries
cannot be predicted, and although such lawsuits and claims are
not expected individually to have a material adverse effect on our
consolidated financial condition, results of operations, or liquidity,
such lawsuits could have in the aggregate a material adverse effect
on our consolidated financial condition, results of operations, or
liquidity. Whether or not we ultimately prevail in any particular
lawsuit or claim, litigation can be time consuming and costly and
injure our reputation.