Summary
Fifth Third Bancorp (FITB) has reached a settlement with the Securities and Exchange Commission (SEC) regarding the timing and public dissemination of notices for the redemption of certain trust preferred securities in May 2011. The company has agreed to a cease and desist order, neither admitting nor denying the SEC's allegations of violations of Section 13(a) of the Securities Exchange Act of 1934 and Regulation FD. This settlement reflects the SEC's consideration of Fifth Third's prompt and voluntary remedial actions. These actions included compensating investors who were harmed by the disclosure timing and implementing enhanced policies and procedures for security redemptions. The company also cooperated with the SEC staff throughout the investigation. Investors should review the attached Order (Exhibit 99.1) for full details of the proceeding and settlement terms.
Key Highlights
- 1Fifth Third Bancorp settled with the SEC over the timing of trust preferred securities redemption notices.
- 2The settlement involves a cease and desist order, with Fifth Third neither admitting nor denying the allegations.
- 3The SEC considered Fifth Third's prompt remedial actions, including investor compensation and improved policies.
- 4The company cooperated with the SEC investigation.
- 5The issue relates to alleged violations of Section 13(a) of the Securities Exchange Act and Regulation FD.
- 6Further details are available in the SEC Order instituting proceedings (Exhibit 99.1).