Court Rejects Shareholder Suit Against GM

General Motors Corp. won dismissal of a suit brought by some owners of its old Class H stock who said they weren’t offered enough for their shares in a 1997 sale of the company’s Hughes defense business to Raytheon Co. GM spun off its Hughes Electronics aerospace and defense operation to Raytheon for $9.5 billion in December 1997. Some shareholders filed suit in Delaware Chancery Court in Wilmington, Del., demanding GM pay them a 20% premium over the Class H stock price at the time. The judge dismissed the claims, saying that “GM/H stockholders approved the Hughes transactions in a fair vote.” GM officials weren’t immediately available to comment on the judge’s decision. Raytheon officials declined comment. GM shares fell $4.69 to close at $85.56, while Lexington, Mass.-based Raytheon’s Class A shares were unchanged at $55.38, both on the New York Stock Exchange.