First Solar, Inc. (NASDAQ: FSLR) announced the entry into a Memorandum of Understanding to settle its class action lawsuit that was filed in the U.S. District Court for the District of Arizona Smilovitz v. First Solar, Inc. The lawsuit was filed previously in 2012. The company has agreed to settle claims with a payout of USD 350 Million that will be distributed to the individuals who purchased or acquired shares of the company between April 30th, 2008 – February 28th, 2012. The settlement must be approved by the United States District Court for the District of Arizona.
“We are confident that resolving this matter is the right business decision for First Solar and its shareholders,” said Mark Widmar, Chief Executive Officer of First Solar. “While we are confident in the facts and the merits of our position, we believe it is prudent to end this protracted and uncertain class action litigation process, and focus on driving the business forward. We remain in a strong financial position, are pleased with our progress with Series 6 and our contracted customer pipeline, and are focused on executing our global strategy and serving our customers.”
The company anticipated that the USD 350 Million will be utilized in the results of operations and financial condition of the company for the fiscal year ended December 31st, 2019.