Grant & Eisenhofer and Labaton Sucharow Announce Settlement of General Motors Securities Class Action for $303 Million

NEW YORK, Aug. 8, 2008 -- Grant & Eisenhofer and Labaton Sucharow, co-lead counsel for the plaintiffs in a federal securities case involving General Motors Corp., have announced that a settlement has been reached whereby GM will make a cash payment of $277 million.

Defendant Deloitte & Touche LLP, which served as GM's outside auditor during the period covered by the action, agreed to contribute an additional $26 million in cash -- bringing the total amount of the settlement to $303 million.

The action is pending before U.S. District Judge Gerald Rosen in U.S. District Court for the Eastern District of Michigan. The case stems from claims that General Motors issued a series of false and misleading statements to investors about the auto maker's financial health going back to 2000. The settlement requires approval by Judge Rosen.

Lead plaintiffs in the case were Deka Investment GmbH, and Deka International S.A., Luxembourg.

Co-lead counsel for the investors were the firms of Grant & Eisenhofer and Labaton Sucharow. Lawyers working on the case from Grant & Eisenhofer were Jay Eisenhofer and James Sabella. Lawyers working on the case from Labaton Sucharow were Jonathan Plasse, Eric Belfi and Richard Joffe.

The case caption is In re General Motors Corp. Securities and Derivative Litigation: MDL No. 1749.

Note: Grant & Eisenhofer P.A. represents institutional investors and shareholders internationally in securities class actions, corporate governance actions and derivative litigation. The firm has recovered nearly $10 billion for shareholders in the last five years and was named one of the Top 5 firms for shareholder recovery by Institutional Shareholder Services as well as to the National Law Journal's list of Top Ten Plaintiffs' firms for the past three years. For more information, visit www.gelaw.com.

Labaton & Sucharow LLP is one of the country's premier national law firms representing individual and institutional investors in class action, complex securities and corporate governance litigation. The firm has been a champion of investor rights for over 40 years and has been recognized for its reputation for excellence by the courts.