Microsoft files lawsuit against DHL

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Microsoft is suing DHL for $2 million, relating to an incident last year in which 21,000 Xbox 360 systems were damaged during a train derailment.

The lawsuit, filed in US District Court in Seattle, claims the damage resulted in "impact damage, wetting, pilfering, and shortage" to the popular video game consoles.

The lawsuit claims that DHL has refused to pay for the damage done to the products, which Microsoft said were valued at more than $2 million.

The game consoles were bound for Long Beach, CA, when the DHL freight train derailed in McCallen, TX last year.

DHL had not filed a formal response in court as of this afternoon.

DHL is already facing financial woes and it undergoes a companywide restructuring.

It is negotiating a contract with UPS through which UPS would provide air transport services for DHL's North American business for 10 years, which garnered backlash in the United States Senate for possibly violating antitrust laws.

DHL said the agreement is part of a company restructuring plan. It has said it will lose about $1.3 billion this year.

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