Also, one has to factor in whether the company was preparing for this and:
1. Had a reserve in place.
2. Will take a Tax write off.
3. Borrow the funds from the revolving credit, thus stretching the hit.
4. Close the stores involved offsetting the settlement.
5. Had liability insurance policy set up for this type of issue.
I do not think this will material to its earnings in the end. In fact, because they settled it may have cost them less in the end if it would have dragged out longer.
Expect to see a modest decline from the day traders running, then the smart money will snap up the dumb money and mover the stock higher, maybe even today, maybe not. It is all about fundamentals and RAD has much improved those.