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Research In Motion Up: Report Says NTP Patent Overturned


11:52 EST Wednesday, February 01, 2006

TORONTO (Dow Jones)--Shares of Research In Motion Ltd. (RIMM) are up 7.2% Wednesday on reports that a key NTP Inc. patent, 6,317,592, has been overturned by the U.S. Patent and Trademark Office.

The PTO's Web site only indicates that an "Action Closing Prosecution (non- final)" is pending on the patent. However, one analyst indicated in a research note that this phrasing indicates a final ruling. "The PTO has not released the actual filing, but we ASSUME this filing implies the patent has been rejected," TD Newcrest analyst Andrew Lee said in a research note.

Lee wrote that, although the phrasing of the rejection is "non-final," he believes "an 'Action Closing Prosecution (non-final)' is a director-initiated inter partes reexamination (where RIM is a third-party requester that is allowed to file comments) is the equivalent to a 'Final Office Action' in a director- initiated exparte reexamination (where RIM is not allowed to file comments)...."

Officials from RIM and NTP weren't immediately available for comment. A PTO spokeswoman couldn't comment immediately on the meaning of the phrase.

On Nasdaq Wednesday, the stock is up $4.90 to $72.40 on 5 million shares. The stock has traded as high as $74.01 Wednesday.

Web Sites: http://www.rim.net, http://www.portal.uspto.gov