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U.S. Customs to Begin Blocking Importation of LED Products That Infringe Philips Lumileds' Patent Rights

Business Wire, Oct 2, 2007

U.S. Court of Appeals for the Federal Circuit Denies Epistar's Motion to Stay ITC Exclusion Order Pending Appeal

SAN JOSE, Calif. -- The United States Court of Appeals for the Federal Circuit has denied Epistar's request to stay enforcement of the U.S. International Trade Commission's (ITC's) limited exclusion order prohibiting importation of Epistar's OMA, MB, and GB products into the United States. The ITC earlier denied a similar request by Epistar.

The Federal Circuit's decision clears the way for U.S. Customs and Border Enforcement to enforce the limited exclusion order. The exclusion order prohibits importation of Epistar's infringing OMA I, OMA II, MB I, MB II, GB I, and GB II LEDs, as well as any other Epistar LEDs that infringe Philips Lumileds' U.S. Patent No. 5,008,718. The exclusion order also prohibits the importation of packaged LEDs containing the infringing Epistar LEDs and boards consisting primarily of arrays of such packaged LEDs. Companies that use, import, or sell these unlicensed infringing products, even unknowingly, are direct infringers of Philips Lumileds' patent and subject to the exclusion order.

In denying Epistar's request to stay the exclusion order, the Federal Circuit, concluded that Epistar did not meet the key criteria, such as "likelihood of success on the merits" of its appeal or the demonstration of "a substantial case on the merits." to obtain a stay. This ruling by a three-judge panel of the Federal Circuit reinforces Philips Lumileds' confidence that the appeals court will ultimately agree with the ITC's findings of infringement and reject Epistar's appeal.

Philips Lumileds also has a pending action in U.S. District Court for the Northern District of California, in which it is asserting its patent rights against Epistar and seeking both damages and an injunction.

An FAQ regarding this information is available at http://www.lumileds.com/corporate/ip.> About Philips Lumileds Lighting Company

Philips Lumileds Lighting Company pioneered power LED technology and is the world's leading provider of power LEDs for everyday lighting applications. The company's recent records for light output, efficacy and thermal management are direct results of the ongoing commitment to advancing solid-state lighting technology and enabling lighting solutions that are more environmentally friendly, help reduce CO2 emissions and reduce the need for power plant expansion. Philips Lumileds' LUXEON LEDs are enabling never before possible applications in the automotive, camera flash, display, general lighting, and signage markets. More information about the company's products and technologies can be found at www.philipslumileds.com.

About Royal Philips Electronics

Royal Philips Electronics of the Netherlands (NYSE:PHG)(AEX:PHI) is a global leader in healthcare, lifestyle and technology, delivering products, services and solutions through the brand promise of "sense and simplicity". Headquartered in the Netherlands, Philips employs approximately 125,800 employees in more than 60 countries worldwide. With sales of EUR 27 billion in 2006, the company is a market leader in medical diagnostic imaging and patient monitoring systems, energy efficient lighting solutions, personal care and home appliances, as well as consumer electronics. News from Philips is located at www.philips.com/newscenter.>