Extreme Claims Legal Victory

Extreme Networks announces victory in patent litigation

May 10, 2005

1 Min Read

SANTA CLARA, Calif. -- Extreme Networks, Inc. (Nasdaq: EXTR - News) today announced that the Company has defeated claims by Lucent Technologies of infringement in four out of five patents which Lucent had asserted against Extreme Networks. A jury in Delaware awarded Lucent nominal damages of $274,990 on its only remaining claim for a feature that has been removed from Extreme Networks' products for well over a year.

"We view this as a total victory, particularly in light of the fact that Lucent initially demanded payment of tens of millions of dollars," said Gordon Stitt, president and CEO of Extreme Networks. The verdict against Lucent came after nearly two years of litigation which was capped by a two week jury trial.

Herb Schneider, vice president of R&D and a co-founder of Extreme Networks added, "We are very pleased with the jury's verdict. Extreme Networks is committed to innovation and we will vigorously defend the products and technologies resulting from the Company's own extensive R&D investments."

Extreme Networks noted that its own challenge as to the validity of the patents themselves and Extreme Networks' counterclaims have yet to be determined by the court. Extreme Networks also noted that there are likely to be significant post-verdict motions and hearings, as well as an appeal of the decision. As a result of the trial, Extreme Networks currently expects to incur $3Million to $4Million in legal expenses and fees associated with its defense of the case. With this change, the Company currently expects that total operating expenses for the fiscal quarter ending June 2005 will be $2Million higher than previously expected.

Extreme Networks Inc.

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