Yahoo! Inc. faces a $2.7 billion non-final judgment that has been entered against the company in a lawsuit in a Mexican court related to a yellow pages listing service.
The litigation was brought against the company in the 49th Civil Court of the Federal District of Mexico City by Worldwide Directories SA and Ideas Interactivas SA, Sunnyvale, Calif.-based Yahoo! said yesterday in a statement.
“The claims are without merit,” Yahoo! said in the statement. The plaintiffs alleged “breach of contract, breach of promise and lost profits,” Yahoo! said.
Shares of Yahoo! fell as much as 1.8 percent to $18.44 in extended trading. Earlier, the stock fell less than 1 percent to close at $18.77 in New York.
Yahoo! shares have gained 16 percent this year.
Yahoo! has a market value of $22.2 billion, and the company had cash and short term investments of $8.41 billion as of Sept. 30, according to data compiled by Bloomberg.
Sara Gorman, a spokeswoman for Yahoo!, didn’t immediately respond to requests for comment on the judgment.