Avery Dennison Says U.S. Patent Office Agrees to Reexamine the 3M Company Patent That is the Subject of Ongoing Litigation

Business Wire, April 13, 2006

PASADENA, Calif. -- Avery Dennison Corporation (NYSE:AVY) announced today that the U. S. Patent and Trademark Office has granted the Company's Request for Reexamination of 3M Company's U.S. Patent No. 5,897,930, the patent that is the subject of ongoing litigation between the two companies.

Avery Dennison's request was based on five earlier issued patents that were not considered by the Patent and Trademark Office before issuing the '930 patent to 3M. In granting the Company's request, the Patent and Trademark Office stated that the five patents raise 'substantial new questions of patentability' affecting the claims in the '930 patent.

In the ongoing patent infringement litigation concerning the '930 patent, Avery Dennison is contesting a jury verdict in the U.S. District Court for the District of Minnesota that held that some of Avery Dennison's Easy Apply Technology(TM) EZ Graphics Film products infringe the '930 patent and that the '930 patent is valid.

"We are pleased that the U.S. Patent and Trademark Office agrees with Avery Dennison that 'substantial new questions of patentability' have been raised with respect to the '930 patent. Although Avery Dennison will not at this time resume selling the specific EZ Film products enjoined by the Court, we remain confident in the Easy Apply Technology(TM) developed by Avery Dennison and look forward to the outcome of the Patent and Trademark Office review," said Michael W. Roughton, vice president and general manager, Avery Dennison Graphics Division.

Avery Dennison is a global leader in pressure-sensitive labeling materials, office products and retail tag, ticketing and branding systems. Based in Pasadena, Calif., Avery Dennison is a FORTUNE 500 company with 2005 sales of $5.5 billion. Avery Dennison employs more than 22,000 individuals in 48 countries worldwide who apply the Company's technologies to develop, manufacture and market a wide range of products for both consumer and industrial markets.

Products offered by Avery Dennison include Avery-brand office products and graphics imaging media, Fasson-brand self-adhesive materials, peel-and-stick postage stamps, reflective highway safety products, labels for a wide variety of automotive, industrial and durable goods applications, brand identification and supply chain management products for the retail and apparel industries, and specialty tapes and polymers.