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Re: Thales622 post# 16428

Saturday, 01/11/2014 5:42:44 PM

Saturday, January 11, 2014 5:42:44 PM

Post# of 30990
As noted by others, the lawsuit is not for health related claims. In addition, from the link you provided,

Investigations

In late January and February of this year our company, directors and others received subpoenas from the United States Attorney’s Office, or USAO, for the Eastern District of Virginia seeking documents. We believe we have responded to substantially all of the issues being reviewed by the USAO. In addition, the international law firm of Chadbourne & Parke LLP conducted an internal investigation of these matters and that investigation was substantially completed in late June 2013. As previously reported, while we cannot predict whether or the extent to which the ongoing investigation will result in any legal action against any individual or entity, but on the basis of the results of the internal investigation, the cooperation with the USAO, and discussions and communications between our outside counsel and the USAO, we do not believe our company will be prosecuted for any of the matters that the USAO has been investigating.

Further, we cannot predict whether, or the extent to which, the related litigation or the other matters discussed herein or under “Part II - Item 1 - Legal Proceedings” will result in any liability or further legal action against our company or any of our employees. However, any such actions could cause us to incur material additional expenses and otherwise have a material adverse effect on our business. We continued to incur substantial legal expenses in connection with the government and internal investigations discussed above in the three months ended September 30, 2013, although at levels that are lower than in earlier periods and we anticipate that these expenses will continue to decline as those investigations near completion with respect to our company. However, we expect to continue to incur in 2013 legal expenses (and related cash demands) in connection with the related civil actions and other matters discussed under “Part II-Item 1- Legal Proceedings” and such expenses and cash demands may be material. We expect that much of the cost related to those actions will be covered by insurance, but cannot provide any assurances with respect to the outcome of the pending claims, or claims yet to arise, including that such claims will not exceed the limits of our insurance policies.





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