Volvo Unit To Pay $525M To Settle Benefits Suit

Law360, New York (May 17, 2011, 7:49 PM EDT) -- AB Volvo unit Mack Trucks Inc. will pay $525 million to settle the United Auto Workers' class action alleging the company improperly reduced health benefits to over 9,300 retirees, following a Pennsylvania federal judge's approval of the deal Thursday.

Ruling that the deal is fair and reasonable, Judge R. Barclay Surrick preliminarily approved the settlement, which will create a new health care plan for Mack retirees.

"The outcome of this case is far from certain and the risks of litigation are high for all interested parties,"...
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