The STI Classic Funds is on the verge of settling a portion of a class action lawsuit which it brought against Bollinger Industries, the exercise equipment manufacturer, and securities firms which participated in Bollinger's Nov., 1993 initial public offering.

Lawyers for the STI Classic Funds, the mutual fund affiliate of SunTrust Bank Atlanta, said earlier this month that STI stands to share a still-to-be determined portion of a $1.5 million settlement with Bollinger's underwriters. They include more than 20 securities firms. A hearing on the proposed settlement is scheduled for Jan. 4 in Texas state court where the STI suit was filed.

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