CalAmp and Rogers Corporation Reach Settlement
January 09 2009 - 9:26AM
Business Wire
CalAmp Corp. (NASDAQ:CAMP), a leading provider of wireless
products, services and solutions, announced today it has reached an
out-of-court settlement of litigation with Rogers Corporation. The
litigation related to product performance issues involving laminate
supplied by Rogers that was included in certain products
manufactured by CalAmp and sold to a Direct Broadcast Satellite
customer. Pursuant to the settlement announced today, Rogers agreed
to make a cash payment to CalAmp of $9 million. As part of the
settlement agreement the parties acknowledged that Rogers admitted
no wrongdoing or liability for any claim, and that Rogers agreed to
settle this litigation to avoid the time, expense and inconvenience
of continued litigation. Under the terms of CalAmp�s bank credit
agreement, CalAmp is required to use approximately $4 million of
the settlement proceeds to pay down its bank term loan. CalAmp is
currently in discussions with the banks on the possibility of
making an additional term loan reduction above and beyond this
amount. Commenting on the announcement, Rick Gold, CalAmp�s
President and Chief Executive Officer said, �I am pleased that we
have reached a satisfactory resolution of this matter. This
settlement significantly improves CalAmp�s financial strength and
we believe is the best outcome for our shareholders.� About CalAmp
Corp. CalAmp provides wireless communications solutions that enable
anytime/anywhere access to critical data and content. The Company
serves customers in the public safety, industrial monitoring and
controls, mobile resource management, and direct broadcast
satellite markets. The Company�s products are marketed under the
CalAmp, Dataradio, SmartLink, Aercept, LandCell and Omega trade
names. For more information, please visit www.calamp.com.
Forward-Looking Statement Statements in this press release that are
not historical in nature are forward-looking statements that
involve known and unknown risks and uncertainties. Words such as
"may," "will," "expect," "intend," "plan," "believe," "seek,"
"could," "estimate," "judgment," "targeting," "should,"
"anticipate," "goal" and variations of these words and similar
expressions, are intended to identify forward-looking statements.
These forward-looking statements reflect the Company's current
views with respect to future events and financial performance and
are subject to certain risks and uncertainties. Actual results
could differ materially from those implied by such forward-looking
statements. Although CalAmp believes the expectations reflected in
such forward-looking statements are based upon reasonable
assumptions, it can give no assurance that its expectations will be
attained. CalAmp undertakes no obligation to update or revise any
forward-looking statements, whether as a result of new information,
future events or otherwise.
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