US Steel Investors Seek Court Nod for $40 Million Settlement

US Steel Corp. investors who say the company misled them about its capacity to meet demand and implement a reliability centered maintenance program asked a federal judge in Pennsylvania for permission to move forward with a $40 million settlement.

The proposed cash deal “is an excellent one,” representing 6% to 7% of total damages based on the class’s estimate, the steel producer’s investors told the US District Court for the Western District of Pennsylvania in a memo filed in support of their preliminary settlement approval bid.

That recovery percentage assumes the investors would prevail on all of their arguments, the ...