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Applica and Tilia Reach Agreement on Patent Infringement Litigation
Apr 9, 2004
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Applica Incorporated announced that it and its U.S. operating subsidiary, Applica Consumer Products, Inc., have entered into a license and settlement agreement with Tilia, Inc. and Tilia International, Inc. to resolve patent infringement litigation pending in federal court in Miami, FL, U.S. and before the International Trade Commission in Washington, D.C., U.S.

As part of the license and settlement agreement, Applica agreed to pay Tilia royalties for using its vacuum-sealing technology. In addition, Applica agreed to not contest the validity of Tilia's previously disputed patents and to settle any future disputes about product infringement by arbitration. Applica said specific terms of the license and settlement agreement, including the terms of the license, will not be disclosed, as both companies have agreed to keep these confidential.

Applica also confirmed its earnings guidance of U.S. $0.80 to $1.00 per share for the year ended Dec. 31, 2004.

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