KeyCorp 401(k) Savings Plan

In September 2010, we filed a class action lawsuit against KeyCorp and the fiduciaries of the KeyCorp 401(k) Savings Plan for violations of ERISA.  We allege that KeyCorp stock was an imprudent investment for the plan because (a) the company was overexposed to substantial mortgage-related losses and other high-risk loans including construction loans to residential real estate developers; (b) the company failed adequately and timely to record accruals for losses from its exposure to delinquent mortgages and for its exposure to future taxes; and because (c) the company’s enormous market expansion, including homebuilder construction loans centered primarily in Florida and California left it overexposed to losses, as the mortgage and housing markets suffered extreme downturns.  When the truth about these practices emerged, KeyCorp’s stock price plummeted, bringing with it the value of plan participants’ retirement assets. Have you lost money as a result of your participation in the KeyCorp 401(k) Savings Plan?