Company: EUO
Filing Date: 2025-03-28
Form Type: 424B3
Source: 0001193125-25-065648
Chunk: 207

Company: ProShares Trust II
Filing Date: 2025-03-28
Form: 424B3
Chunk 207
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 Corporation as of June 30, 2024, include matters for which the Corporation has taken material provisions, or for which there are material contingent liabilities that are more than remote, or for which there is the possibility of material business or reputational risk, but are not limited to, the following (listed in alphabetical order): CDS Auction Final Price Class Action Litigation On June 30, 2021, plaintiff New Mexico State Investment Council (NMSIC) filed a class action complaint in the United States District Court for the District of New Mexico against DBSI and nine other CDS-dealer banks alleging that from 2005 to present the defendants colluded to manipulate the CDS final auction price in violation of federal antitrust laws. Specifically, NMSIC alleges the defendants as leading CDS market dealers colluded to submit coordinated initial market prices, the midpoint of which is used to determine the final auction price on CDS of defaulted bonds. On April 5, 2022, defendants filed a motion to dismiss, which was denied on June 5, 2023. On November 2, 2023, defendants filed in the United States District Court for the Southern District of New York a motion to enforce the settlement in a prior CDS class action litigation as barring some or all of the New Mexico class action. The same day, defendants moved to stay the New Mexico case pending the outcome of the proceedings in New York. The motion to stay the New Mexico case was granted. On January 26, 2024, the New York court granted defendants’ motion to enforce and enjoined plaintiffs from pursuing any claims based on conduct occurring before June 30, 2014. On February 23, 2024, plaintiffs filed a notice of appeal of the New York court’s decision to the Second Circuit; briefing for the appeal was completed on June 18, 2024, and oral argument is scheduled for September 19, 2024. On March 4, 2024, the parties filed a joint status report in the New Mexico court discussing whether and to what extent they believe discovery may proceed; on May 6, 2024, the New Mexico court issued an order keeping the discovery stay in place pending the Second Circuit appeal. CFTC Confidentiality Agreement Investigation On March 8, 2024, DBSI received a voluntary request for documents from the U.S. Commodity Futures Trading Commission (CFTC) in connection with an investigation concerning confidentiality provisions and whether those provisions include