Yahoo! ordered to pay $2.7 bn by Mexican court

Nov 30, 2012
Yahoo! said it was ordered to pay $2.7 billion by a Mexican court in a lawsuit stemming from allegations of breach of contract and lost profits related to a yellow pages listing service.

Yahoo! said Friday it was ordered to pay $2.7 billion by a Mexican court in a lawsuit stemming from allegations of breach of contract and lost profits related to a yellow pages listing service.

The US Internet giant said in a statement it "believes the plaintiffs' claims are without merit and will vigorously pursue all appeals."

The California company's statement offered few details on the case.

It said the 49th of the Federal District of Mexico City has "entered a non-final judgment of US $2.7 billion against Yahoo! Inc. and Yahoo de Mexico" in the case.

The lawsuit was brought by Worldwide Directories SA de CV and Ideas Interactivas, and "alleged claims of breach of contract, breach of promise, and lost profits arising from contracts related to a yellow pages listings service," Yahoo! said.

Yahoo! shares were down 1.4 percent in after-hours trade on the news.

Yahoo! in October reported that its rocketed above $3 billion, fueled by the sale of part of its stake in Chinese e-commerce giant Alibaba.

The California company's revenue from was little changed from the same quarter last year but Yahoo! reported its income from ads served up with online search results was up 11 percent.

It has been trying to reinvent itself as the search pioneer has been overtaken by .

Explore further: Verizon 2Q profit rises 93 percent

add to favorites email to friend print save as pdf

Related Stories

Japan's Softbank unloads Yahoo! shares

Aug 26, 2011

Japanese telecom giant Softbank on Friday said it was selling the bulk of its holdings in US Internet firm Yahoo! to Citibank in repayment of a 2004 loan.

China fund may help Alibaba in Yahoo! bid: report

May 25, 2012

China Investment Corporation is in advanced talks to add up to $2 billion to the Alibaba Internet Group's efforts to buy back a stake from struggling Internet pioneer Yahoo!, the New York Times reported.

Yahoo! shares drop as Alibaba service spins off

May 12, 2011

Yahoo! stock sank on news that Alibaba has spun its online payment business out of reach of the US Internet pioneer, which owns a large stake in China's leading online search service.

Yahoo! shares sink on Alibaba tensions

May 13, 2011

Yahoo! shares extended their slide on Friday amid tensions with Alibaba Group, the Chinese e-commerce giant in which the California Internet company holds a large stake.

Recommended for you

Verizon 2Q profit rises 93 percent

2 hours ago

Verizon reported Tuesday that its second-quarter earnings nearly doubled after it secured full ownership of Verizon Wireless.

Comcast 2Q earnings top views on Internet hookups

2 hours ago

Comcast Corp.'s second-quarter net income rose 15 percent to nearly $2 billion as it added high-speed Internet customers at a faster pace than a year ago and video subscriber losses moderated.

Ex-Qualcomm exec pleads guilty to insider trading

17 hours ago

A former high-ranking executive of US computer chip giant Qualcomm pleaded guilty Monday to insider trading charges, including trades on a 2011 deal for Atheros Communications, officials said.

Media venture creates press litigation fund

18 hours ago

The media venture created by entrepreneur Pierre Omidyar said Monday it was establishing a fund to help defend journalists in cases involving freedom of the press.

User comments : 3

Adjust slider to filter visible comments by rank

Display comments: newest first

kevinrtrs
2.2 / 5 (17) Dec 01, 2012
For Worldwide Directories SA de CV and Ideas Interactivas and to have lost 2.7 billion in profit would take some miraculous performance on their part under normal circumstances. This sounds like someone is on the take.
Duude
1.7 / 5 (12) Dec 01, 2012
Mexico seeks to double their GDP by collecting a ridiculous judgment from Yahoo.
Noumenon
2.3 / 5 (21) Dec 01, 2012
Mexico is corrupt from top to bottom.