Mercury Interactive Corp., a California-based software company acquired by Hewlett-Packard Co. in 2006, agreed earlier this week to the preliminary settlement of the securities class action pending against the company in the N.D. of California. The case was originally filed in 2005 and alleges that executives at the company backdated stock options and made false or misleading statements concerning Mercury Interactive’s financial results.
The settlement is for $117.5 million and is the largest to date involving stock options backdating. Press coverage can be found in the Wall Street Journal (subscrip. req’d) and the New York Times.