Citibank (NYSE: C) announced that it had finally reached a settlement agreement in a lawsuit related to the buyout of Bruno’s Supermarkets which dated back to 1995 with former bondholders of the company.
Plaintiffs in the case were seeking an an-unspecified amount of damages in the several hundred million dollar range over claims that some of Citibank’s subsidiary units and affiliates had violated state law “arising out of an underwriting of Bruno’s securities,” said Citibank in the company’s annual report.
The report said that Citibank entered into a settlement conditioned on court approval in January 2010. The suit was first filed by 2004 in connection with a leveraged recapitalization of Bruno’s in 1995 by Kohlberg Kravis and Roberts.
The settlement’s details were not disclosed.
Bruno’s Supermarkets filed bankruptcy last year when many of its stores were purchased by Southern Family Markets.
