SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
May 20, 1996
--------------
(Date of earliest event reported)
ADVANCED TECHNOLOGY LABORATORIES, INC.
(Exact name of registrant as specified in its charter)
Washington 0-15160 91-1353386
------------ --------- ------------
(State or other (Commission (I.R.S. Employer
jurisdiction or File Identification No.)
organization) Number)
22100 Bothell Everett Highway
P.O. Box 3003, Bothell, Washington 98041-3003
---------------------------------- ----------
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (206) 487-7000
-1-
Item 5. Other Events
------------
On May 17, 1996 the U.S. District Court for Northern California
awarded damages of $27.9 million as well as interest and legal fees
to SRI International (SRI) in a patent infringement lawsuit against the
Registrant. The Court found that the Registrant had willfully infringed
the patent, resulting in an award of treble damages.
The litigation concerns an expired patent issued to SRI in 1977 for
an electrical circuit allegedly used in the Registrant's now discontinued
Ultramark(R) 4, 5 and ADR 4000 products. The circuit used in the
Registrant's product was developed in the early 1980's by ADR, then a
subsidiary of Squibb Corp. The circuit in dispute is not used, and has
never been used, in the Registrant's all-digital product line or in any
of its current products.
The Registrant intends to appeal the amount of the damage award,
including the finding of willful infringement. However, the appeal may
not be successful in reducing the amount of the award.
The Registrant will take an estimated one-time charge of $29.0 million
in the second quarter to cover the damages and estimated costs of interest
and legal fees. The Registrant had accrued $5 million in 1994 for this
litigation claim. As of March 29, 1996, the registrant reported over $52
million in cash and short-term investments and shareholders's equity of
over $216 million.
Statements herein include forward looking statements that involve
a number of risks and uncertainties, and actual results could differ
materially from those anticipated by the Company. These statements should
be read in conjunction with the Registrant's Financial Statements and notes
thereto, and Management's Discussion and Analysis of Financial Condition and
Results of Operations set forth in the Registrant's 1995 Annual Report which
is incorporated by reference in the Registrant's Form 10-K for the year
ended December 31, 1995, and the Company's Report on Form 10-Q for the period
ended March 29, 1996.
SIGNATURES
Pursuant to the requirements of the Securities and Exchange Act
of 1934, the registrant has duly caused this report to be signed on
its behalf by the undersigned hereunto duly authorized.
ADVANCED TECHNOLOGY
LABORATORIES, INC.
DATE: May 22, 1996 BY: /s/ W. Brinton Yorks, Jr.
--------------------------
W. Brinton Yorks, Jr.
Vice President, General
Counsel and Secretary
-2-