Ciena and Broadwing Settle Patent Infringement Litigation

Ciena and Broadwing reached an amicable settlement of their patent infringement litigation.

Under the terms of the settlement agreement, Ciena and Broadwing have agreed to dismiss all claims. In addition, Broadwing will pay to Ciena $35.0 million in three equal annual installments. $33.0 million of Broadwing's total payment may be used as credits toward the purchase of Ciena equipment and services at market prices over the next three and one-half years, in order to help continue to maintain, build and enhance the Broadwing network. Ciena will recognize revenue on these purchases in accordance with contractually agreed-upon terms. Additional terms of the settlement were not disclosed.

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http://www.broadwing.com