LUBBOCK, Tex.-Sprint Nextel Corp. has settled three lawsuits involving its CDMA affiliate Alamosa Holdings Inc., suits that included allegations that Alamosa officials had traded insider information on their company to Sprint Nextel in exchange for stock options that vested immediately upon the sale of Alamosa.
The suits were filed soon after Sprint Nextel agreed in November to buy Alamosa for $4.3 billion.
According to an Alamosa filing with the Securities and Exchange Commission, Sprint Nextel and the plaintiffs in the three cases signed a memorandum of understanding to settle the suits. Sprint Nextel agreed to pay $150,000 in attorneys’ fees and expenses. The settlement agreement is contingent on court approval, the execution of an official settlement agreement and Sprint Nextel and Alamosa completing their merger.
