HTC Investors

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Statement of the decision on Nokia’s patent litigation against HTC in German Munich District Court.
1.Date of occurrence of the event:2013/12/31
2.Company name: HTC Corporation
3.Relationship to the Company (please enter "head office" or
  "subsidiaries"):Head Office
4.Reciprocal shareholding ratios: N/A
5.Name of the reporting media: N/A
6.Content of the report: N/A
7.Cause of occurrence:
On December 31, the District Court of Munich found that
a number of HTC devices infringe the German part of
patent EP 1148681 (“Method for Transferring Resource
Information”).  We are extremely pleased that the Court
also imposed a bond of €400 million on the case which
Nokia must pay before they can enforce the decision
against HTC.  Naturally, we will be appealing today’s
decision of infringement immediately as we firmly believe
the patent is invalid and we will continue with our
invalidity action pending before the German Federal
Patents Court.  Even though we believe the first instance
court should have sided with HTC on the issue of
infringement, notwithstanding the appeal that we will
file, we are also now looking into modifications for our
handsets to avoid infringement of the patent in
question.  The decision, if it is enforced by payment of the
€400m bond, will apply to HTC, not to our customers and
we will make an urgent application to the Court of Appeal
to seek a stay of any enforcement.
9.Any other matters that need to be specified: None