Apple (AAPL)

Eight separate plaintiffs filed purported class action cases in various California courts alleging misrepresentations by the Company relative to iPod battery life. The complaints include causes of action for violation of California Business and Professions Code §17200 (unfair competition), the Consumer Legal Remedies Action and claims for false advertising, fraudulent concealment, and breach of warranty. The complaints seek unspecified damages and other relief. The cases were consolidated in San Mateo County and Plaintiffs thereafter filed a consolidated complaint. On August 25, 2004, the Company filed an answer denying all allegations and asserting numerous affirmative defenses. The parties reached a tentative settlement and the Court granted preliminary approval of the settlement on May 20, 2005. The trial court entered an order granting final approval to the settlement on August 25, 2005. An appeal challenging the trial court’s approval of the settlement was filed on October 24, 2005; the appeal is pending. Settlement of this matter on the terms approved by the Court will not have a material effect on the Company’s financial position or results of operations.

A similar complaint relative to iPod battery life,

Eight separate plaintiffs
filed purported class action cases in various California courts alleging
misrepresentations by the Company relative to iPod battery life. The complaints
include causes of action for violation of California Business and Professions
Code §17200
(unfair competition), the Consumer Legal Remedies Action and claims for false
advertising, fraudulent concealment, and breach of warranty. The complaints
seek unspecified damages and other relief. The cases were consolidated in San
Mateo County and Plaintiffs thereafter filed a consolidated complaint. On August 25,
2004, the Company filed an answer denying all allegations and asserting
numerous affirmative defenses. The parties reached a tentative settlement and
the Court granted preliminary approval of the settlement on May 20, 2005.
The trial court entered an order granting final approval to the settlement on August 25,
2005. An appeal challenging the trial
court’s approval of the settlement was filed on October 24, 2005; the
appeal is pending. Settlement of this matter on the terms approved by
the Court will not have a material effect on the Company’s financial position
or results of operations.

A similar complaint
relative to iPod battery life,