Free Supplement/Amendment - District Court of Colorado - Colorado

Case 1:01-cv-01451-REB-KLM

Document 1012

Filed 05/16/2006

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UNITED STATES DISTRICT COURT DISTRICT OF COLORADO

IN RE: QWEST COMMUNICATIONS INTERNATIONAL, INC. SECURITIES LITIGATION

: : : : This Document Relates To: All Cases : ____________________________________:

CASE NO. 01-CV-1451-REB-CBS JUDGE ROBERT E. BLACKBURN

SUPPLEMENTAL OBJECTIONS TO PROPOSED SETTLEMENT OF CLASS ACTION; NOTICE OF CHANGE OF INTENT TO APPEAR COME NOW Charles B. Reiner and Margaret M. Flanagan, by and through undersigned counsel, and hereby file these Supplemental Objections to the proposed Settlement of this Class Action. 1. Objectors submit that the Four Hundred Million Dollar ($400,000,000) settlement amount is unfair, inadequate and unreasonable compared to the amount of losses sustained by the class and should be rejected by this Honorable Court. This conclusion is borne out by the fact that so many truly sophisticated institutional investors have analyzed this case and the settlement, and have decided to opt-out of the Class. For example, the Teachers' Retirement System of Louisiana (a State Pension Fund of the State of Louisiana), the New York State Teachers' Retirement System, and the Shriners Hospitals For Children (a Colorado Charitable Corporation) have gone so far as to file objections and then withdraw them so as to allow them to opt out. In addition, the California State Teachers Retirement System, the San Francisco Employees Retirement System and State of New Jersey, Department of Treasury, Division of Investment have opted out. The total alleged value for the claims of these institutional opt-outs amounts to roughly $2.8 Billion. Many of these

Case 1:01-cv-01451-REB-KLM

Document 1012

Filed 05/16/2006

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institutions are among the biggest and most sophisticated investors in the country, many of whom function as Class Representatives in various cases. Yet the instant case, for all other shareholders, is being settled for only $400,000,000. If these truly sophisticated institutional investors are opting out, it seems clear that this case should be sent back to the bargaining table, perhaps with a new plaintiff's representative, such as one of these sophisticated institutional investors who have voted with their feet as a more fitting class representative. 2. Objectors hereby withdraw their Notice of Intent to Appear at the Fairness Hearing and will rely upon their pleadings and those of the other remaining Objectors that are not inconsistent with those matters set forth herein and in their original Objections.

Respectfully submitted,

__/s/ Michael Gross Michael Gross, No14113 SCHWARTZ & GOLDBERG , P.C. 1200 Seventeenth Street, Suite 2190 Denver, CO 80202 Telephone: (303) 893-2500 [email protected] _/s/ Edward F. Siegel____________________ EDWARD F. SIEGEL (Ohio Bar No. 0012912) 5910 Landerbrook Drive Suite 200 Cleveland, Ohio 44124 Voice (440) 544-1107 Facsimile (440) 446-1240 E-mail [email protected]

Case 1:01-cv-01451-REB-KLM

Document 1012

Filed 05/16/2006

Page 3 of 3

CERTIFICATE OF SERVICE I certify that these Objections were filed with the Court through its electronic filing system on May 15, 2006 and were served on all counsel by that system. In addition, courtesy copies were served by regular U.S. Mail, postage prepaid on May 15, 2006, to the following: Keith F. Park, Esq. LERACH COUGHLIN STOIA GELLER et al 655 West Broadway, Suite 1900 San Diego CA 92101-3301 Alfred Levitt, Esq. BOIES, SCHILLER & FLEXNER, LLP 5301 Wisconsin Ave. N.W. Suite 20015 Washington DC 20015 Counsel for Settling Defendant Qwest John Freedman ARNOLD & PORTER LLP 555 Twelfth Street N.W. Washington DC 20004-1202 Counsel for Defendant Arthur Andersen LLP

__/s/ Edward F. Siegel______________ EDWARD F. SIEGEL Counsel for Objectors