March Networks announces a settlement in the patent litigation by E-Watch of San Antonio, launched last April.
The agreement stipulates that March Networks pay the sum of $2 million. In addition, March makes no admission regarding the validity, enforceability or infringement of any E-Watch patents.
March Networks intends to reflect this settlement as a charge to earnings in the second quarter of fiscal year 2007. The expected net earnings of the company for the fiscal year ending April 30, 2007 will decline by approximately $1.5 million, or 8 cents per share on a diluted basis.
