Proxim (NASDAQ:PROX)
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Court Denies Proxim's Equitable Defenses in Patent Suit; Post
Trial Motion Phase to Commence
SUNNYVALE, Calif., July 29 /PRNewswire-FirstCall/ -- Proxim Corporation
(NASDAQ:PROX) today announced that the court has denied Proxim's equitable
defenses in Symbol Technologies, Inc.'s patent suit with Proxim before the U.S.
District Court for the District of Delaware. The court further determined that
the jury's award of a 6% royalty on Proxim's sales of these products from 1995
through September 2003, plus prejudgment interest, results in an award of
damages to Symbol of $25.9 million. Proxim is not enjoined from continued sales
of these products and the court denied Symbol's request that it impose a court
ordered royalty on future sale of these products by Proxim.
Proxim has fully accrued for the amount awarded in its financial statements
since the date of the initial jury award in September 2003. Accordingly, this
decision will not result in any change to its financial statements.
Furthermore, Proxim does not anticipate that it will incur any immediate
financial obligation to Symbol as a result of this decision, pending completion
of all related proceedings, including post trial motions on this matter. Proxim
intends to vigorously defend itself in this litigation and to consider all
available options after the conclusion of all matters before the court.
About Proxim
Proxim Corporation is a global leader in wireless networking equipment for
Wi-Fi and broadband wireless networks. The company is providing its enterprise
and service provider customers with wireless solutions for the mobile
enterprise, security and surveillance, last mile access, voice and data
backhaul, public hot spots, and metropolitan area networks. This press release
and more information about Proxim can be found on the Web at
http://www.proxim.com/.
Safe Harbor
This press release includes forward-looking information and statements that are
subject to risks and uncertainties that could cause actual results to differ
materially from those stated in the forward-looking statements. Forward-looking
statements include, but are not limited to, Proxim's current estimates of
potential royalty payments in connection with sales of its products and the
outcome of any proceedings before the court, as well as any appeal. The
forward-looking statements are subject to risks and uncertainties that could
cause actual results to differ materially from those projected, including the
possibility that any required royalty payments exceed current estimates, the
potential that the court could enjoin Proxim's future sale of the products;
Proxim's ability to make any required royalty payments and Proxim's ability to
maintain its current debt and credit facilities, as well as obtain access to
additional capital, if required, from these or other sources. For additional
information regarding risks relating to Proxim's business, see Proxim
Corporation's Form 10-K for the year ended December 31, 2003, Form 10-Q for the
quarter ended April 2, 2004, and Current Reports on Form 8-K and other relevant
materials filed by Proxim with the SEC.
DATASOURCE: Proxim Corporation
CONTACT: Ben Gibson, Vice President, Corporate Marketing, or Michael
Angel, Chief Financial Officer of Proxim Corporation, +1-408-542-5200
Web site: http://www.proxim.com/