UPDATE 1-Skilled Healthcare seeks new trial in damages verdict

Fri Aug 6, 2010 6:25pm EDT

* Says files motion related to $677-ln verdict

* Says filed motion on grounds of juror misconduct

* Says talks with plaintiffs still continuing

Aug 6 (Reuters) - Skilled Healthcare Group Inc (SKH.N) said it filed a motion for a mistrial or a new trial over a California jury verdict in July that ordered the company to pay damages of $677 million to patients for not providing sufficient nursing care.

The company said in a statement that the motion was filed with the Superior Court of the state of California on grounds of juror misconduct.

"I was astonished by the evidence we learned about this juror's concealed bias and apparent pernicious conduct that ultimately resulted in an egregious verdict," Chief Executive Boyd Hendrickson said.

On July 15, the company said it had reached an agreement with plaintiffs to stay all proceedings and pursue settlement talks till Aug. 9. [ID:nSGE66E0EX]

Skilled Healthcare said the stipulation has not been extended, although settlement discussions were ongoing.

Shares of the company closed at $2.49 Friday on the New York Stock Exchange. (Reporting by Krishnakali Sengupta in Bangalore; Editing by Unnikrishnan Nair)

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