April 29, 2005 – Cirrus Logic Inc. has announced a settlement and release of all claims between Cirrus Logic, Fujitsu Ltd., Amkor Technology Inc., and Sumitomo Bakelite Co. Ltd. over the alleged failure of certain semiconductor ICs sold by Cirrus Logic to Fujitsu. As part of a broader settlement involving all parties to the matter, Cirrus Logic will receive a payment of $25 million from Fujitsu.
This settlement will result in a one-time benefit to the company’s net income. The company anticipates that the payment will be received prior to the end of June 2005.
“From the beginning of this litigation we have maintained our confidence that we would reach a favorable resolution,” said David D. French, president and CEO, Cirrus Logic. “We are pleased that this litigation is now behind us, and the $25 million settlement further strengthens Cirrus Logic’s total cash and debt-free balance sheet.”