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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
September 8, 2003
______________________________________
(Date of Report)
ITRON, INC.
__________________________________________________
(Exact Name of Registrant as Specified in Charter)
Washington 000-22418 91-1011792
____________________________ _____________________ ___________________
(State or Other Jurisdiction (Commission File No.) (IRS Employer
of Incorporation) Identification No.)
2818 N. Sullivan Road, Spokane, WA 99216
____________________________________________________________
(Address of Principal Executive Offices, including Zip Code)
(509) 924-9900
____________________________________________________
(Registrant's Telephone Number, Including Area Code)
None
_____________________________________________________________
(Former Name or Former Address, if Changed Since Last Report)
Item 7. Financial Statements and Exhibits. The following item is attached as an
exhibit hereto:
(c) Exhibits.
Exhibit No. 99.1 Press Release dated September 3, 2003
Item 9. Regulation FD Disclosure (Information provided pursuant to Item 12)
On September 3, 2003, Itron, Inc. issued a press release reporting that the
United States District Court, District of Minnesota, issued an Order addressing
post-trial motions in the Benghiat patent litigation. A copy of this press
release is attached as Exhibit 99.1.
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, hereunto duly authorized.
ITRON, INC.
Dated: September 8, 2003 By:_/s/_DAVID_G._REMINGTON________________
David G. Remington
Vice President and Chief Financial Officer
Exhibit 99.1
Itron Issues Update on Patent Infringement Litigation;
Court Issues Order Ruling on Post-Trial Motions
SPOKANE, Wash.--(BUSINESS WIRE)--Sept. 3, 2003--Itron, Inc. (Nasdaq:ITRI)
today reported that the United States District Court, District of Minnesota, has
issued an Order addressing post-trial motions in the Benghiat patent litigation.
In December 2002, a jury in Minneapolis returned a verdict against Itron
and found that Itron's manual entry handheld meter reading devices infringed a
patent owned by Ralph Benghiat, an individual. The jury awarded Benghiat damages
of $7.4 million and determined that Itron's infringement was willful.
In July 2003, a number of post-trial motions were filed by both parties.
Benghiat moved for interest on the verdict, the prohibition of infringing
product sales, and an accounting of royalty bearing sales by Itron from July 1,
2002 through December 20, 2002, the date of the verdict. Itron opposed
Benghiat's motions and filed other motions.
Under the Court's Order dated August 29, 2003, the Court denied all of
Itron's motions and granted Benghiat's motions for an injunction on infringing
product sales, interest on the verdict and an accounting of royalty bearing
sales.
Although Itron continues to believe that its products do not infringe the
Benghiat patent, in early 2003, it redesigned the products that were found to
infringe Benghiat's patent and have received an opinion from outside counsel
that the redesigned products do not infringe the patent. This means that Itron's
customers will continue to be able to purchase and use its handheld products
despite the ruling by the Court to enjoin sales of the infringing products.
Itron recorded a $7.4 million pre-tax charge for the amount of the jury's
award in December 2002. No accrual has been made for prejudgment interest, which
Itron estimates to be approximately $2 million.
Appeals of the Court's final judgment must be made within 30 days to the
Federal Circuit Court of Appeals in Washington D.C. Itron intends to file such
an appeal within the next few days. Payment of the final judgment award plus
accrued interest, after the posting of an appropriate bond, would not be due
until any appeals have run their course, which Itron estimates would take
approximately 18 to 24 months.
About Itron:
Itron is a leading technology provider and critical source of knowledge to
the global energy and water industries. More than 2,800 utilities worldwide rely
on Itron technology to deliver the knowledge they require to optimize the
delivery and use of energy and water. Itron delivers value to its clients by
providing industry-leading solutions for meter data collection, energy
information management, demand side management and response, load forecasting,
analysis and consulting services, transmission and distribution system design
and optimization, web-based workforce automation, C&I customer care and
residential energy management. To know more, start here: www.itron.com.
Caution concerning forward-looking statements:
This release contains forward-looking statements concerning Itron that may
affect our financial performance. These statements reflect the Company's current
plans and expectations and are based on information currently available to it.
They rely on a number of assumptions and estimates, which could be inaccurate,
and which are subject to risks and uncertainties that could cause the Company's
actual results to vary materially from those anticipated. Risks and
uncertainties include the inability to predict the outcome of appeals or any
negotiation efforts associated with the Benghiat litigation and estimating costs
associated with litigation defense, and other factors which are more fully
described in the Company's Annual Report on Form 10-K for the year ended
December 31, 2002 and Forms 10-Q for 2003 on file with the Securities and
Exchange Commission. Itron undertakes no obligation to update publicly or revise
any forward-looking statements.
CONTACT: Itron, Inc.
Mima Scarpelli, 509-891-3565
mima.scarpelli@itron.com