counsel's hourly rates charged in non-contingent cases.
10. The Court finds that the time expended and the hourly rates reflected in the Petition are fair and reasonable.
11. The fees requested were entirely contingent on success. The Petitioners undertook the representation of the class in this action which presented complex factual and legal issues. The extent of defendants' liability was not clear, there was no preceding governmental investigation, and the amount of damage was uncertain and difficult to prove.
12. Petitioners together risked enormous time and effort, including the time and effort of numerous lawyers and paralegals, and advanced very substantial costs with no ultimate guaranty of compensation. In addition, all fees and reimbursement of expenses were deferred until the outcome of the litigation, rather than paid currently as in non-contingent litigation. There was consequently a significant loss of value by reason of delay and inflation, as well as significant risk.
13. The recovery obtained for the class consists of a settlement fund of $ 4 million, including interest to date, representing a price of $ 48 per share of stock, $ 7.50 per share above the initial bid, $ 7.75 per share above the historic high for the stock, and approximately $ 16 per share, or 50%, above the market price for the stock immediately before the initial offer. The result is excellent in relation to the contingencies and risks of this lawsuit.
14. Taking all this into consideration, the Court finds that Petitioners have justified and deserve a fee of $ 1,000,000.00.
15. The Court, upon consideration of the entire record in this case, finds the allowance of counsel fees, as set forth in the above paragraph, to be fair and reasonable compensation for the value of the services rendered. See, e.g., Lindy Bros. Builders, Inc. v. American Radiator & Standard Sanitary Corp., 540 F.2d 102 (3d Cir. 1976) (Lindy II); Merola v. Atlantic Richfield Co., 493 F.2d 292 (3d Cir. 1974) (Merola II); Lindy Bros. Builders, Inc. v. American Radiator & Standard Corp., 487 F.2d 161 (3d Cir. 1973) (Lindy I).
16. Petitioners have also incurred costs in the total amount of $ 295,762.97, as set forth in paragraph 4 above. The Court finds these costs to be necessary, reasonable and proper, and that counsel are entitled to an award of these costs. The Court further finds that the fee of $ 200,000 for investment banking advisory and valuation services, litigation consulting services, and expert witness services by Alan R. Hoefer were necessary, reasonable and proper, in light of his experience, the services he provided and the customary fees charged by investment bankers for such services.
IT IS THEREFORE ORDERED AND DECREED THAT:
A. Petitioners are hereby awarded a fee of $ 1,000,000;
B. Petitioners are also hereby awarded reimbursement of costs incurred in the amount of $ 295,762.97;
C. The fees and costs awarded by this Order are to be paid to the law firm of Fine, Kaplan and Black as trustee, on behalf of all of the Petitioners;
D. The fees and reimbursement as set forth in subparagraphs A and B above of this Order, shall be paid from the settlement fund 10 days after this Order becomes final, either by affirmance on appeal, dismissal of any appeal filed, or expiration of the period for appeal without any appeal having been filed. In the event of an appeal from this Order, the fees and reimbursement shall bear interest, beginning 10 days from the entry of this Order, at the same rate as the settlement funds.
E. This Order shall be entered as of this date pursuant to Rule 54(b) of the Federal Rules of Civil Procedure, the Court finding that there is no just reason for delay.