Shortly after the merger announcement an investigation on behalf of current investors of Mirant Corporation (Public, NYSE:MIR), who purchased the MIR shares before April 09, 2010, over potential breaches of fiduciary duty and other violations of state law in connection with an alleged unfair takeover price and practice was announced.

The investigation by a law firm focus on potential breaches of fiduciary duty and other violations of state law by the Board of Directors of Mirant arising out of their attempt to sell Mirant Corporation (Public, NYSE:MIR) to RRI Energy, Inc.

Mirant Corporation, located in Atlanta, Georgia, is an energy company that produces and sells electricity in the United States. Mirant owns or leases 10,076 megawatts of net electric generating capacity in the Mid-Atlantic and Northeast regions and in California.

On April 11, 2010, Mirant Corporation (NYSE: MIR) and RRI Energy, Inc. (NYSE: RRI) announced that they have entered into a definitive agreement to create GenOn Energy. Under the terms of the merger agreement Mirant stockholders will receive a fixed ratio of 2.835 shares of RRI Energy common stock (RRI) for each share of Mirant common stock they own or approximately $11.20 per share for a total transaction value of approximately $1.61 billion. According to Mirant Corp. the transaction has been approved unanimously by the Board of Directors.

Shares of Mirant Corporation (MIR) traded at $10.79 per share the trading day before the news, but Mirant stock traded in excess of $17.00 per share as recently as January 7, 2010, was down from its 52weekHigh of $19.12 per share, and over $40 per share in 2008.

According to an investigation by a law firm the transaction appears to be unfair to current investors of Mirant Corporation (NYSE:MIR) because the offer to purchase Mirant Corporation appears opportunistically timed to take advantage of the current economic downturn and is grossly unfair, inadequate, and substantially below the fair or inherent value of MIR.

Mirant Corporation reported in 2007 Total Revenue of $2.019billion with a Net Income of $1.955billion, in 2008 Total Revenue of $3.188billion with a Net Income of $1.265billion, and in 2009 Total Revenue of $2.309billion with a Net Income of $494million. Mirant has reportedly a book value of $29.77 per share and at least one analyst set a price target for Mirant stock (MIR) at $19.00 per share.

The investigation in particular concerns whether the Mirant Corp. Board of Directors breach their fiduciary duties to Mirant Corporation (MIR) shareholders if they agree to sell Mirant Corporation at an unfair price thereby harming Mirant Corporation and its shareholders, whether the directors of Mirant Corp. may breach their fiduciary duties by not acting in Mirant shareholders' best interests, and the Company may not have adequately shopped itself around if they enter into this transaction and, pursuant to this proposed transaction, RRI Energy, Inc. may be underpaying for Mirant Corporation thus unlawfully harming MIR shareholders.