Bisys Group Inc. said it has reached an agreement in principle to pay $66.5 million to settle a securities class action filed against the company and some of its former officers and directors.
The New York financial services outsourcing firm, which announced the agreement Monday, said it includes no admission of wrongdoing.
The agreement to settle the suit, filed in 2004 in the U.S. District Court for the Southern District of New York, resolves past reporting issues and will allow Bisys to focus on its business, the company said.
It plans to fund the settlement using cash on hand, an existing credit facility, and insurance proceeds from its $25 million directors and officers liability policy. Bisys is in talks with its insurers to determine the amount of available proceeds.
