Symbol Technologies and Intermec Resolve All Outstanding Intellectual Property Disputes

Companies Enter Into Cross-Licensing Agreement and Covenant Not to Sue

Intermec, Inc and Symbol Technologies, Inc., pioneers and leaders in automated identification and data capture (AIDC) technologies, have reached an agreement that settles all outstanding intellectual property (IP) disputes between the two companies.

Under the settlement agreement, Intermec and Symbol have cross-licensed certain patents, have entered into four-year covenants not to sue with respect to remaining patents, and have released patent infringement damage claims that may have existed on the settlement date or may arise before the covenants expire. The specific terms of the settlement agreement are confidential.

In March 2005, Symbol filed lawsuits alleging that Intermec was infringing certain Symbol bar code scanning and wireless patents. Intermec responded by filing counterclaims and a complaint in the U.S. International Trade Commission (ITC) alleging that Symbol was infringing certain Intermec bar code scanning patents.

In September 2005, Intermec and Symbol resolved the portion of their dispute that concerned radio frequency identification (RFID). At that time, Symbol joined Intermec's Rapid Start RFID intellectual property licensing program. That cross-licensing agreement gave Symbol access to Intermec's RFID IP and gave Intermec access to Symbol's RFID IP.

Both companies believe that the agreement announced today is a good resolution of their IP disputes. They also believe that this agreement is in the best interests of their customers and shareholders.