Replies to post #10760 on InterDigital Inc (IDCC)

[texb]

Mschere, re: Why include NOK TDD contract?

But Nokia TDD contract has not been a source of IDCC income but rather an expense of IDCC as a result of the $58 million cap placed by Nokia and agreed to by IDCC..How does the Publishing of the TDD contract fit into your otherwise valid points?

Good question. I suspect that the answer might lie in PWC's interpretation of the following SEC requirement regarding material contracts.

Any contract upon which the registrant's business is substantially dependent, as in the case of continuing contracts to sell the major part of registrant's products or services or to purchase the major part of registrant's requirements of goods, services or raw materials or any franchise or license or other agreement to use a patent, formula, trade secret, process or trade name upon which registrant's business depends to a material extent;

http://www.law.uc.edu/CCL/regS-K/SK601.html

IDCC has staked a large part of its future (and one could therefore say its business is substantially dependent) on the joint development of TDD or WTDD with Nokia. Perhaps that was the reason the NOK TDD contract was included.

texb