will shell out $92 million to
to settle a patent lawsuit, the two companies said late Tuesday.
On Oct. 1, 2004, a federal jury in New York found that Sun had infringed three Kodak patents related to a software architecture based on the Java computer language.
Under terms of the agreement announced today, Sun will receive a license for those patents in exchange for $92 million in cash. The deal marks the conclusion of a suit filed by Kodak in February 2002.
Jonathan Schwartz, Sun's president and chief operating officer, said in a statement that the company is "eager to put this punitive litigation behind us." Sun spokeswoman May Petry said that on Thursday, when the company gives its September quarter earnings report, executives will explain how the payout will affect earnings per share in the quarter under way.
After hours, Sun shares traded up 2 cents, or 0.5%, to $4.25, after closing down 8 cents, or 1.9%, to $4.23.