Frequently Asked Questions
- Why Did I Receive The Notice?
- What Are the Lawsuits About?
- What is a Class Action?
- What is a Derivative Action?
- Why Are There Settlements?
- How do I Know if I am Part of the Class?
- Who is Excluded from the Class?
- Who is Affected by the Dismissal of the Derivative Action?
- I am Still Not Sure if I am Included.
- What do the Settlements Provide?
- How Much will my Payment be?
- How will I Receive a Payment?
- When will I Receive my Payment?
- What am I Giving up by Staying in the Class?
- How do I Exclude Myself from the Class?
- If I Do Not Exclude Myself, Can I Sue the Settling Defendants for the Same Thing Later?
- If I Exclude Myself, can I Receive a Payment from these Settlements?
- Do I Have a Lawyer in this Case?
- How will the Lawyers be Paid?
- How do I Tell the Court that I do not Like the Settlements?
- What is the Difference Between Objecting and Excluding?
- When and Where will the Court Decide Whether to Approve the Settlements?
- Do I Have to Come to the Settlement Hearing?
- May I Speak at the Settlement Hearing?
- What Happens if I do Nothing at All?
- Are There More Details About the Settlements?
1. Why Did I Receive The Notice?
A: You or someone in your family may have owned shares in the Strong Funds (a) through investment accounts (including through nominee or omnibus accounts) at any time from January 1, 1999, through December 31, 2004, or (b) though the Strong Financial Corporation Profit Sharing and 401(k) Plan at any time from October 30, 1998 through December 31, 2004.
If this description applies to you, you have a right to know about proposed Settlements of litigation concerning alleged frequent trading, market timing, and late trading in Strong Funds, and about all of your options, before the Court decides whether to approve the Settlements. If the Court approves the Settlements and after any objections or appeals are resolved, the Settlement Administrator appointed by the Court will make the payments that the Settlements allow.
This Notice explains the lawsuits, the Settlements, your legal rights, what benefits are available, who is eligible for them, and how to receive them.
2. What Are the Lawsuits About?
A: In late 2003 and early 2004, a number of investors in Strong Funds filed complaints in various courts against Strong Capital Management, Inc. and related entities, alleging market timing and late trading in the Strong Funds. Market timing is a term used to describe the short-term, “in and out” trading of mutual fund shares, which may be used to capitalize on inefficiencies in the way mutual fund shares are priced. Late trading is a form of market timing that involves placing orders to buy, sell or exchange mutual fund shares using the day’s net asset value (“NAV”) after the 4:00 p.m. eastern time cut-off, capitalizing on post-4:00 p.m. information.
Certain of these complaints alleged claims under federal securities law and state law on behalf of investors in the Strong Funds; another set of complaints alleged claims under federal securities law and state law on behalf of the Strong Funds; and one complaint alleged claims under ERISA on behalf of participants in and beneficiaries of the Strong Financial Corporation Profit Sharing and 401(k) Plan.
Over the same period, various other mutual fund families identified as being involved in the regulatory market timing and late trading investigations likewise were named in numerous complaints filed in courts throughout the United States. On February 20, 2004, the Judicial Panel on Multi-District Litigation issued an order centralizing all of these actions in one multi-district docket in the United States District Court for the District of Maryland (the “Court”) under the caption MDL-1586 - In re Mutual Funds Investment Litigation (the “MDL Actions”). The Court organized the MDL Actions into subtracks by mutual fund family and allocated the subtracks among four judges. The Strong Subtrack is assigned to the Honorable Catherine C. Blake. A case management order entered on May 24, 2004, appointed Stephen J. Friedman, M.D. as lead plaintiff for the Strong fund investor class claims and approved his selection of Milberg Weiss Bershad & Schulman LLP (now Milberg LLP) as lead plaintiff’s counsel. The order also approved the selection of Chimicles & Tikellis LLP as lead Strong fund derivative counsel.
On September 29, 2004, consolidated amended complaints were filed in the class and derivative actions. Plaintiffs in the fund investor class action asserted claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 (“Exchange Act”), Sections 11, 12(a)(2) and 15 of the Securities Act of 1933 (“Securities Act”), Sections 34(b), 36(a), 36(b) and 48(a) of the Investment Company Act of 1940 (“ICA”), and state law. Plaintiffs in the fund derivative action asserted claims under Sections 36(a), 36(b), 47 and 48 of the ICA, Sections 206 and 215 of the Investment Advisors Act of 1940 (“IAA”), and state law.
Certain of the defendants in the Strong Subtrack actions moved to dismiss the claims in the fund investor class action, the fund derivative action, and the ERISA class action. Judge Blake issued rulings in 2005 granting these motions in part and denying them in part.
The parties began discovery, including production and review of documents. Discussions of possible settlements of the Actions proceeded with various groups of defendants at various times throughout the litigation. Agreements in principle to settle the Actions with various groups of defendants were reached at various times.
A: In a class action, one or more persons sue on behalf of other persons who have similar claims. In this case, court-appointed lead plaintiff, Stephen J. Friedman, M.D., a former investor in Strong Funds, asserts claims on behalf of other former investors in Strong Funds, and ERISA Class Plaintiffs Brian Flynn and Robert Hamilton, former participants in the Strong Financial Corporation Profit Sharing and 401(k) Plan, assert claims on half of other former participants in or beneficiaries of the Plan. The persons on whose behalf claims are asserted in a class action are referred to collectively as the class, and individually as class members. If the court determines that an action may proceed as a class action, the outcome of the action will be binding on all members of the class who have not excluded themselves from the class.
4. What is a Derivative Action?
A: In a derivative action, one or more shareholders of a corporation sue on behalf of the corporation, alleging that the corporation was injured, and seeking recovery on behalf of the corporation. In this case, claims were asserted on behalf of the Strong Funds by former Strong Fund investors Jeffrey W. and Lauri C. Bader, Heather Blum, Gregory D. Coleman, Francis X. Collannino, as Custodian for Rachel M. Collannino, Simon J. Denenberg, as Trustee for the Sarah Ross Trust, Rachel M. Foley, Ryan Marshall, Terry Mintz, Andrew D. Mulè, Brian Munroe, Niki Tsetsekos, as Custodian for Panayiotis “Peter” Tsetsekos, George Tsetsekos, as custodian for Yanni Tsetsekos, and Sean Wilson.
A: The Court has not decided in favor of Plaintiffs or the Settling Defendants. Instead, in order to avoid the risks and costs of further litigation and trial, Plaintiffs and the Settling Defendants agreed to settlements, subject to notice to the Class and approval by the Court. Class Plaintiffs and their attorneys believe the Settlements are in the best interest of all Class Members.
6. How do I Know if I am Part of the Class?
A: The Class consists of: (a) all Strong Fund shareholders at any time from January 1, 1999, through December 31, 2004, including, without limitation, investors in Strong Funds through nominee or omnibus accounts, and (b) all participants in or beneficiaries of the Strong Financial Corporation Profit Sharing and 401(k) Plan at any time from October 30, 1998 through December 31, 2004, except those persons and entities that are excluded, as described in question 7 below.
A list of the Strong Funds appears as Appendix A to this Notice; a list of issuers of the Strong Funds appears as Appendix B.
7. Who is Excluded from the Class?
A: The following persons are excluded from the Class: (i) persons and entities named as defendants in the Strong Subtrack consolidated second amended class action complaint, individual lawyers who have appeared as attorneys for any such defendant in any of the Strong Subtrack Constituent Actions and the law firms with which such lawyers are affiliated, and parents, subsidiaries, affiliates, immediate family members, heirs, successors, and assigns of each of those defendants, (ii) each officer, director, or trustee of any of such entities during 1999-2004, (iii) any entities controlled by any person or entity described in subsection (i) or (ii) of this sentence, and (iv) directors and portfolio managers of the Strong Funds during 1999-2004.
Note that the foregoing exclusions do not apply to former participants in or beneficiaries of the Strong Financial Corporation Profit Sharing and 401(k) Plan in respect of Strong Funds shares owned through the Plan.
Persons who request exclusion in accordance with the requirements set forth in this Notice will also be excluded from the Class.
8. Who is Affected by the Dismissal of the Derivative Action?
A: A derivative action is brought on behalf of a corporation, seeking a recovery on behalf of the corporation. A recovery in a derivative action brought on behalf of a mutual fund benefits the mutual fund directly and may benefit investors indirectly by increasing the fund’s NAV. The Strong Funds no longer have assets or shareholders because the assets of the Strong Funds were transferred to Wells Fargo funds, and the claims in the derivative action have been dismissed by an agreement the Court has approved. As part of that agreement, the class period in the class actions was extended to include Strong Fund shareholders who held as of December 31, 2004, thus including shareholders who would have indirectly benefited from recovery under a traditional derivative settlement. Market-timing based claims of the Strong Funds will be released as part of the Settlements.
9. I am Still Not Sure if I am Included.
A: If you are still not sure whether you are included, you can ask for free help. You can call the Settlement Administrator, The Garden City Group, at 1 (800) 949-1898, for more information. Or you can fill out and return the Proof of Claim and Release form described in Question 12, to see if you qualify.
10. What do the Settlements Provide?
A: The Settlements, if approved, provide for dismissal, binding on all Class Members, of all claims against the Settling Defendants based upon frequent trading, market timing, or late trading, or the aftermath of those activities or their disclosure, in the Strong Funds, in exchange for settlement payments.
The proposed Settlements provide for payment of a total of $13,678,500 in cash (the “Settlement Funds”), comprised of (i) $13,500,000 paid on behalf of the Strong Defendants, (ii) $15,500 paid on behalf of BAS, (iii) $28,000 paid on behalf of the Bear Stearns Defendants, and (iv) $135,000 paid on behalf of the Canary Defendants. The Settlement Funds plus all interest earned thereon shall be referred to as the “Gross Settlement Funds.”
After payment of court-approved attorneys’ fees and litigation expenses and the costs of claims administration, including the costs of printing, mailing, and publishing notice, the balance of the Gross Settlement Funds (the “Net Settlement Funds”) will be paid to Class Members in accordance with the Plan of Distribution described in the Long-Form Notice. With the approval of the OAG, Class Counsel will cause the Settlement Administrator to distribute the OAG/Canary Amount to Class Members in accordance with the Plan of Distribution described in the Long-Form Notice.
11. How Much will my Payment be?
A: The Net Settlement Funds will be distributed among Class Members based on their holdings of Strong Funds. Lead Plaintiffs’ Counsel have, in consultation with expert advisors, developed an analysis of when and to what extent the various Strong Funds were affected by the activities alleged in the Actions. Because the analysis developed by Lead Plaintiffs’ Counsel shows that some Strong Funds were affected more than others by those activities, and that the impact of those activities varied from time to time, Lead Plaintiffs’ Counsel developed a Plan of Distribution that provides relatively larger distributions for holdings that were, according to their analysis, more strongly affected by the challenged activities.
If you held your shares directly with Strong (including shares held directly through Strong’s transfer agent, Strong Investor Services, Inc. or shares held as part of the Strong Financial Corporation Profit Sharing and 401(k) Plan, but excluding shares held through Strong’s brokerage firm, Strong Investments, Inc., or as a participant in a retirement or college savings plan administered by a Strong affiliate), the Settlement Administrator will have access to the company’s data on your positions in the Strong Funds. Class Members who invested in Strong Funds through direct Strong Investor Services, Inc. retail accounts or the Strong Plan are not required to file a proof of claim in order to receive a distribution from the Settlements. If you fall into this category, you will receive a letter from the Settlement Administrator identifying you as a Class Member who does not have to file a Proof of Claim.
Class Members who invested in Strong Funds through brokers or other intermediaries, including Strong Investments Inc., the brokerage firm affiliated with Strong Financial Corporation, are required to file a proof of claim in order to receive a distribution from the Settlements. Those Class Members will be required to submit a separate Proof of Claim and Release form (“Proof of Claim”), signed under penalty of perjury and supported by such documents as specified in the Proof of Claim as are reasonably available to the claimant, in order to establish the claimant’s holdings in the Strong Funds during the relevant period. If you did not receive a letter from the Settlement Administrator with the Short-Form Notice informing you otherwise, then you have to file a Proof of Claim.
All Proofs of Claim must be postmarked or received by December 8, 2010, addressed as follows:
Strong Sub-Track
In re Mutual Funds Investment Litigation
c/o The Garden City Group, Inc.
P.O. Box 9611
Dublin, OH 43017-4911
Class Members who are uncertain about whether they are required to file a proof of claim should seek assistance from the Settlement Administrator.
If you are entitled to a payment, your share of the Net Settlement Funds will depend on (i) the number of valid Proofs of Claim that Class Members submit, (ii) the number of shares outstanding in the Strong Funds you purchased and/or held during the Class Period, and (iii) when you purchased and sold your shares. By following the Plan of Distribution described in the Long-Form Notice, you can calculate your "Recognized Claim."1 The Settlement Administrator will distribute the Net Settlement Funds (and, if the OAG authorizes the distribution, the OAG/Canary Amount) according to the Plan of Distribution after the deadline for submission of Proofs of Claim has passed.
Unless otherwise ordered by the Court, any Class Member who fails to submit a properly completed and signed Proof of Claim within such period, or such other period as may be ordered by the Court, shall be forever barred from receiving any payments pursuant to the Settlements, but will in all other respects be subject to the provisions of the Stipulations and the final judgment entered by the Court.
12. How will I Receive a Payment?
A: To qualify for a payment, you must be an eligible Class Member. NOTE: Class Members who held shares in Strong Funds directly through Strong Investor Services, Inc. retail accounts or as participants in or beneficiaries of the Strong Financial Corporation Profit Sharing and 401(k) Plan do not need to submit a Proof of Claim. Class Members who invested in Strong funds through a broker or other intermediary, including Strong Investments, Inc., the broker affiliated with Strong Financial Corporation, must submit a Proof of Claim.
The Proof of Claim form is available at Proof of Claim Form. Read the instructions carefully, fill out the Proof of Claim, include all the documents requested, sign it, and mail it in an envelope postmarked no later than December 8, 2010. Please retain a copy of everything you mail, in case the materials are lost or destroyed during shipping.
13. When will I Receive my Payment?
A: The Court will hold a hearing on October 21-22, 2010, to decide whether to approve the Settlements. If the Court approves the Settlements, objecting Class Members may appeal. Resolving appeals can take time, perhaps several years. In addition, the Settlement Administrator must process all of the Proofs of Claim. The processing is complicated and will take many months. Please be patient.
14. What am I Giving Up by Staying in the Class?
A: Approval of the Settlements will result in dismissal with prejudice of all Claims in the Actions against the Settling Defendants, binding upon all Class Members, and will bar Class Members from pursuing any claim against Settling Defendants or persons related to them based on market timing, late trading, or short-term or excessive trading of shares of any of the Strong Funds, or the aftermath of any of those activities or their disclosure.
The judgment dismissing Claims in the Actions against Settling Defendants will be binding upon Class Members and bar their assertion or continuance of such claims unless they exclude themselves from the Class as provided in this Notice.
If the Settlements are approved, all Claims against the Settling Defendants in the actions listed in Appendix C to this Notice will be dismissed with prejudice, binding upon all Class Members who do not exclude themselves from the Class.
Specifically, through the Settlements and by entry of the proposed Final Order and Judgment in the Actions, Class Members on behalf of themselves and their present or past heirs, executors, administrators, successors, and assigns (i) will fully, finally and forever release, relinquish, and discharge all Claims against the Strong Management Released Parties, the Strong Registrant Released Parties, the Bank of America Released Parties, the Bear Stearns Released Parties, and the Canary Released Parties; and (ii) will covenant not to sue, or to assist any person in suing, the Strong Management Released Parties, the Strong Registrant Released Parties, the Bank of America Released Parties, the Bear Stearns Released Parties, or the Canary Released Parties concerning any Claim.
In all four settlements:
“Claim” or “Claims” means any and all claims, rights, demands, charges, complaints, actions, suits, liabilities, and causes of action, whether direct, derivative, or brought in any other capacity, under federal, state, local, statutory, or common law, foreign law, or any other law, rule, or regulation, accrued or unaccrued, including known claims and Unknown Claims, (i) that were or could have been asserted in any of the Strong Subtrack Constituent Actions, or (ii) that otherwise concern, relate to, or arise out of in any respect, whether directly or indirectly, market timing, late trading, or short-term or excessive trading of shares of any of the Strong Funds, or the aftermath of any of those activities or their disclosure.
“Related Persons” means (a) with respect to natural persons, their past and present agents, servants, attorneys, accountants, insurers, co-insurers and re-insurers, executors, and administrators; (b) with respect to legal entities other than natural persons, their past and present parents, subsidiaries, affiliates, general partners, limited partners, officers, directors, trustees, members, employees, agents, servants, attorneys, accountants, insurers, co-insurers, and re-insurers; and (c) the predecessors, successors, heirs, and assigns of each of the foregoing.
In the settlement with the Settling Strong Defendants:
“Strong Management Released Parties” means the Strong Management Defendants (Strong Financial Corporation, Strong Capital Management, Inc., Strong Investor Services, Inc., Strong Investments, Inc., and Richard S. Strong) and their respective Related Persons (in their capacities as such); all other entities that provided advisory (including sub-advisory), distribution, management, administration or other services to the Strong Funds (in their capacities as such); and the Strong Financial Corporation Profit Sharing and 401(k) Plan.
“Strong Registrant Released Parties” means the Strong Registrant Defendants (the Strong Funds2; the Strong Registrants3; the Strong Registrant Independent Directors4; the Strong Successor Trusts5 and their trustees) and their respective Related Persons (in their capacities as such).
In the settlement with BAS:
“Bank of America Released Parties” means the Bank of America Parties (Banc of America Securities LLC, Bank of America Corporation, and Bank of America, N.A.) and their respective Related Persons (in their capacities as such).
In the settlement with the Bear Stearns Defendants:
“Bear Stearns Released Parties” means the Bear Stearns Parties (Bear, Stearns & Co. Inc., Bear Stearns Securities Corp., and The Bear Stearns Companies Inc. (currently known as J.P. Morgan Securities Inc., J.P. Morgan Clearing Corp., and The Bear Stearns Companies LLC, respectively)) and their respective Related Persons (in their capacities as such).
In the settlement with the Canary Defendants:
“Canary Released Parties” means the Canary Parties (Canary Capital Partners, LLC; Canary Capital Partners, Ltd.; Canary Investment Management, LLC; and Edward Stern) and their respective Related Persons (in their capacities as such).
15. How do I Exclude Myself from the Class?
A: To exclude yourself from the Class, you must mail a letter identifying the name or names in which you invested in Strong Funds, stating that you want to be excluded from the Class in the In re Mutual Funds Investment Litigation – Strong Sub-Track, 1:04-MD-15864, and including your signature. You must include your address, telephone number, shares of Strong Funds owned at the beginning of the Class Period, the end of the Class Period, and at the end of each calendar quarter during the Class Period, and, if applicable, indicate that you are a former participant in the Strong Financial Corporation Profit Sharing and 401(k) Plan. If you represent to the Settlement Administrator (subject to verification) that this information is not available, you may provide the number of shares that you held in the Strong Funds at the end of each year ended 1998-2004. You must mail your exclusion request so that it is received no later than September 21, 2010 to:
STRONG SUB-TRACK
In re Mutual Funds Investment Litigation
EXCLUSIONS
c/o The Garden City Group, Inc.
P.O. Box 9645
Dublin OH 43017-4945
Please keep a copy of everything you send by mail, in case it is lost or destroyed during shipping.
You cannot exclude yourself over the phone or by e-mail. If you ask to be excluded from the Class, you will not be eligible to receive any payment from the Net Settlement Funds, and you cannot object to the Settlements. You will not be legally bound by anything that happens in this lawsuit and you will be able to pursue separately the claims that are being released in these Settlements.
Settling Defendants may withdraw from and terminate the Settlements if certain threshold levels of investors who would otherwise be entitled to participate as members of the Class timely and validly request exclusion from the Class.
16. If I do not Exclude Myself, can I Sue the Settling Defendants for the Same Thing Later?
A: No. Unless you exclude yourself, you give up any right to sue the Settling Defendants or the Released Parties for the claims being released by these Settlements. If you have a pending lawsuit or arbitration relating to the claims being released in the Actions against any of the Settling Defendants, speak to your lawyer in that case immediately. Remember, the exclusion deadline is September 21, 2010.
17. If I Exclude Myself, can I Receive a Payment from these Settlements?
A: No. If you exclude yourself, do not send in a Proof of Claim. But you may sue, or be part of a different lawsuit or arbitration asserting claims against the Settling Defendants based on frequent trading, market timing, or late trading in Strong Funds.
18. Do I Have a Lawyer in this Case?
A: The Court has appointed the law firms of Milberg LLP (formerly, Milberg Weiss Bershad & Schulman LLP) as Lead Fund Investor Class Counsel. and Harwood Feffer LLP as Lead ERISA Class Counsel to represent the Class and Tydings & Rosenberg LLP as Plaintiffs’ Administrative Chair and Liaison Counsel. The law firm of Chimicles & Tikellis LLP, previously selected by the Court as Lead Fund Derivative Counsel, represent additional plaintiffs in the Fund Investor Class Action. You will not be individually charged for the services of these lawyers beyond your pro rata share of any attorneys’ fees and expenses awarded by the Court that will be paid from the Settlement Funds. If you want to be represented by your own lawyer, you may hire one at your own expense.
19. How will the Lawyers be Paid?
A: Lead Plaintiffs’ Counsel will jointly apply to the Court for attorneys’ fees not to exceed 20% of the Gross Settlement Funds. Plaintiffs’ Counsel will also apply to the Court for reimbursement of their litigation expenses paid or incurred in connection with the commencement, prosecution and resolution of the Actions in an amount not to exceed $650,000, to be paid from the Gross Settlement Funds. In addition, Court-appointed Plaintiffs’ Administrative Chair and Liaison Counsel will apply for an award of attorneys’ fees and expenses of an additional 1.25% of the Gross Settlement Funds for its efforts on behalf of plaintiffs. Such sums as may be approved by the Court will be paid from the Settlement Funds. Class Members are not personally liable for any such fees or expenses.
The attorneys’ fees and expenses requested will be the only payments to Plaintiffs’ Counsel for their efforts in achieving these Settlements and for their risk in undertaking this representation on a wholly contingent basis and advancing the money necessary to pursue the Actions. To date, Plaintiffs’ Counsel have not been paid for their services or for their substantial litigation expenses. The fees requested will compensate Plaintiffs’ Counsel for their work in achieving the Settlements and Plaintiffs’ Counsel believe that it is well within the range of fees awarded to counsel under similar circumstances in other cases of this type. The Court has discretion, however, to award less than this amount.
20. How do I Tell the Court that I do not Like the Settlements?
A: If you are a Class Member, you can object to the Settlements if you do not like any part of them, the Plan of Distribution, or the application for attorneys’ fees and litigation expenses. To object, you must send a letter saying that you object to the Settlements in the In re Mutual Funds Investment Litigation – Strong Sub-Track, 1:04-MD-15864, and the reasons why you object to the Settlements. Be sure to include your name, address, telephone number and signature. You must also include information or documents concerning your holding(s), purchase(s) and sale(s) of your shares in the Strong Funds during 1999-2004, including the number of shares and the dates of each purchase and sale of such shares. You must file any objection with the Clerk’s Office at the United States District Court for the District of Maryland at the address set forth below on or before September 21, 2010. You must also serve any objection on Lead Investor Class Counsel at the address set forth below, so that the objection is received by September 21, 2010:
| COURT | COUNSEL FOR PLAINTIFFS |
| Clerk of the Court United States District Court District of Maryland 101 W. Lombard Street Baltimore, MD 21201 |
Lead Investor Class Counsel: Clifford S. Goodstein, Esq. MILBERG LLP One Penn Plaza New York, NY 10119-0165 |
21. What is the Difference Between Objecting and Excluding?
A: Objecting means telling the Court that you do not like something about the Settlements, the Plan of Distribution, or the application for attorneys’ fees and litigation expenses, and want the Court to disapprove the Settlements or modify them in some way. You can object only if you stay in the Class. Excluding yourself is telling the Court that you do not want to be part of the Settlements. If you exclude yourself, you have no basis to object because the case no longer affects you.
22. When and Where will the Court Decide Whether to Approve the Settlements?
A: The Court will hold a fairness hearing at 10:00 a.m., on October 21-22, 2010, at the United States District Court for the District of Maryland, 101 W. Lombard Street, Baltimore, MD 21201. At this hearing, the Court will consider whether the Settlements and the Plan of Distribution are fair, reasonable, and adequate. If there are objections, the Court will consider them. The Court may listen to Class Members who have requested in writing by September 21, 2010 to speak at the hearing. The Court may also consider Lead Plaintiffs’ Counsel’s application for attorneys’ fees and reimbursement of expenses.
23. Do I Have to Come to the Settlement Hearing?
A: No. Lead Plaintiffs’ Counsel will answer any questions Judge Blake may have. But, you are welcome to come at your own expense. If you send an objection, you do not have to come to Court to talk about it. As long as you mailed your written objection so that it is received on time, the Court will consider it. You may also pay your own lawyer to attend, but it is not required.
24. May I Speak at the Settlement Hearing?
A: Yes, but you must first ask the Court for permission to speak at the Settlement Hearing. To do so, you must send a letter stating your intention to appear in the In re Mutual Funds Investment Litigation – Strong Sub-Track, 1:04-MD-15864. Be sure to include your name, address, telephone number, signature, and also identify your year-end holdings of Strong Funds during 1999-2004. Your notice of intention to appear must be received no later than September 21, 2010, and be sent to the Clerk of the Court and Lead Investor Class Counsel at the addresses listed in Question 20. If you exclude yourself from the Class the Court may decline to permit you to speak at the hearing.
25. What Happens if I do Nothing at All?
A: If you do nothing and the Settlements are approved, you will be bound by the dismissal with prejudice of all claims against the Settling Defendants based upon market timing, late trading, or short-term or excessive trading of shares of any of the Strong Funds, or the aftermath of any of those activities or their disclosure. You will not be able to start a lawsuit, continue with a lawsuit, or be part of any other lawsuit against the Settling Defendants concerning such claims. Your entitlement to a distribution from the Net Settlement Funds will depend upon the Plan of Distribution and whether (if you are required to do so) you file a Proof of Claim.
26. Are There More Details About the Settlements?
A: This Long-Form Notice summarizes the proposed Settlements. More details can be found in the stipulations with the Settling Defendants (the “Stipulations”). All terms used in this Long-Form Notice shall have the same meanings as in the Stipulations. You can obtain copies of the Stipulations or more information about the Settlements by visiting Settlement Agreements or by writing to Lead Investor Class Counsel, Lead ERISA Class Counsel, or Lead Fund Derivative Counsel as listed under “More Information” in the Long-Form Notice. You can also obtain copies of the Stipulations from the Clerk’s office at the United States District Court for the District of Maryland, 101 W. Lombard Street, Baltimore, MD 21201, during regular business hours. If you have other questions, you may contact the Settlement Administrator or Lead Investor Class Counsel, Lead ERISA Class Counsel, or Lead Fund Derivative Counsel.
1The Recognized Claim is the amount that will be used to proportionally allocate the Net Settlement Funds. It is NOT an estimate of the amount that you may be paid.
2“Strong Funds” means all mutual funds and mutual fund series issued by the Strong Registrants or that were otherwise part of the Strong family of mutual funds, and includes, without limitation, the funds listed on Appendix A of the Long-Form Notice.
3“Strong Registrants” means all investment companies and trusts formerly part of the Strong mutual fund family and includes, without limitation, the investment companies and trusts listed on Appendix B of the Long-Form Notice.
4“Strong Registrant Independent Directors” means Willie D. Davis, Stanley Kritzik, William F. Vogt, Neal Malicky, and Gordon B. Greer, each of whom was formerly an independent director of the Strong Registrants.
5“Strong Successor Trusts” means the trusts established in connection with the dissolution of the Strong Registrants.
