Charles Schwab will pay an additional $35 million on top of the $200 million settlement announced April 20 in the District Court, Northern District of California case against the Schwab YieldPlus fund.

Schwab increased its contingency reserve by $14 million, pre-tax, net of expected insurance coverage. Using previously reported reserves of $182 million pre-tax, in connection with the federal and state claims, the combined reserve reduces first quarter net income by $120 million.

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