T-Mobile agrees to pay $350 million to settle 2021 data-breach class action

T-Mobile US Inc. TMUS, -0.53% reached an agreement to settle a class-action lawsuit regarding a 2021 cyberattack that breached some customer data, the company disclosed in a late-Friday filing. The wireless giant agreed to pay $350 million to handle claims made by class members and cover other related fees. The proposed settlement is still subject to court approval, which T-Mobile expects as soon as December 2022. The company anticipates that this and other pending or completed settlements will resolve “substantially all of the claims” brought about in conjunction with the 2021 breach. T-Mobile also said that it will commit to putting an additional $150 million toward data-security and other related technologies. T-Mobile expects to record a total pre-tax charge of about $400 million for the second quarter related to this and other related settlements. The company said that it factored the charge and the $150 million data-security spending into its prior guidance. Analysts tracked by FactSet expect T-Mobile to report $219 million in net income for the second quarter.