STOCKHOLM, Sweden, Sept. 04, 2003 (PRIMEZONE) -- Skandia (Other OTC:SKNFF) (LSE:SDIAq):
On 31 July 2003, Senior Judge Milton Pollack of the United States District Court for the Southern District of New York issued a decision and order in Donovan v. American Skandia Life Assurance Corp. et al dismissing the entire case with prejudice.
The attorneys for the plaintiffs have now filed a Notice of Appeal to the U.S. Court of Appeals for the Second Circuit. Additionally, the plaintiffs have filed a motion before Judge Pollack which essentially asks Judge Pollack to alter his ruling. Skandia and American Skandia will contest the appeal and the motion.
The lawsuit purports to represent a class of investors who purchased American Skandia variable annuity products for the purpose of funding a "qualified" (i.e. tax-deferred) retirement account.
"We believe and have repeatedly stated that the plaintiffs' claims are without legal merit. This opinion was confirmed by Judge Pollack in July in dismissing the case with prejudice. The appeal does not in any respect alter our view on the case." says Jan-Mikael Bexhed, Skandia's General Counsel.
As previously disclosed Skandia Insurance Company Ltd is liable for the outcome of this case as a result of the agreement with Prudential Financial, Inc. concerning the sale of American Skandia.
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The following files are available for download:
http://www.waymaker.net/bitonline/2003/09/04/20030904BIT00350/wkr0001.doc
http://www.waymaker.net/bitonline/2003/09/04/20030904BIT00350/wkr0002.pdf