VirnetX Holding Corp (VHC)

[B7$4]

"VHC News" Microsoft and VirnetX Settle Patent Infringement Cases

http://www.prnewswire.com/news-releases/microsoft-and-virnetx-settle-patent-infringement-cases-93918084.html

REDMOND, Wash. and SCOTTS VALLEY, Calif., May 17 /PRNewswire-FirstCall/ -- VirnetX Holding Corporation and Microsoft Corporation today announced that they have settled the patent infringement cases brought by VirnetX before the U.S. District Court for the Eastern District of Texas. Pursuant to the settlement, both lawsuits will be dismissed.

As part of the settlement, Microsoft takes a license to the VirnetX patents for Microsoft's products and will make a one-time payment of $200 million to VirnetX. All other aspects of the settlement and license were not disclosed.

"This Agreement highlights the need for VirnetX's Secure Domain Name Initiative, and we believe that this successful resolution of our litigation with Microsoft will allow us to focus on the upcoming pilot system that will showcase VirnetX's automatic Virtual Private Network technology," said Kendall Larsen, Chief Executive Officer and Chairman of VirnetX Holding Corporation. "We look forward to our continued work with our Secure Domain Name Initiative partners in that effort."

"We are pleased to work with VirnetX to bring these cases to a successful resolution through this settlement," said Tom Burt, corporate vice president and deputy general counsel, Microsoft Corporation. "We look forward to VirnetX's continued progress as it develops its technologies."