Baker Botts represented ASARCO in the four-week bench trial in May and June 2008, and Judge Hanen issued an opinion regarding AMC’s liability on August 30, 2008. The judge held that AMC perpetrated a fraudulent transfer when it acquired ASARCO’s controlling interest in Southern Copper Corporation (SCC) on March 31, 2003. Judge Hanen also concluded that AMC aided and abetted ASARCO’s former directors to breach fiduciary duties owed to ASARCO and its creditors, and conspired with ASARCO’s former directors to breach those duties and to commit the fraudulent transfer.
In his April 1 opinion on damages, Judge Hanen ordered AMC to return to ASARCO the shares of SCC owned by ASARCO on March 30, 2003. Using SCC’s closing stock price on April 1, ASARCO estimates those shares to be worth approximately $4.68 billion.
Judge Hanen also ordered AMC to pay ASARCO money damages of approximately $1.35 billion. The monetary award is comprised of dividends AMC received on the SPCC shares of $1.94 billion and prejudgment interest on those dividends of $329 million, less the $747 million that AMC paid for the SPCC shares, together with interest on that payment of $164 million.
News media coverage of the order includes stories on the Bloomberg and Reuters wires.
About Baker Botts L.L.P.
Baker Botts L.L.P., dating from 1840, is a leading international law firm with offices in Austin, Beijing, Dallas, Dubai, Hong Kong, Houston, London, Moscow, New York, Palo Alto (California), Riyadh and Washington. With approximately 800 lawyers, Baker Botts provides a full range of legal services to international, national and regional clients. For more information, please visit www.bakerbotts.com.
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