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So with that taking care of I’d like to turn the call over to Bill.Bill Merritt Thank you, Janet and thanks to all of you for joining us on the call today. As you read in today’s announcement we have entered into a definitive agreement with Intel for the sale of a portion of our patent portfolio. Scott will go through the details of the transaction and provide some information on the financial impact, but before he does I’d like to make three main points. First of all, I want to emphasize that this transaction is a tremendous milestone on the road to delivering on this strategy we discussed earlier in the year. We announced in January that we felt that expanding our efforts to include patent sales and licensing partnerships will be a source of value for the company. Today’s announcement highlights the potential value of that strategy as well as InterDigital’s ability to execute on it. Second, a transaction like this really shines in a spotlight on the value of our very strong research and development team of more than 200 engineers. This transaction involves approximately 1700 patents and patent applications a number that our internal R&D efforts typically generate over the course of a given 18 months period. Intel clearly understands the strength of our invention and this transaction highlights the value of continuing developed [including edge] technologies. Finally, let me emphasize that although the patent assets were selling a very strong, we do not expect to sell to have a material impact on our ongoing licensing program. For example, the transaction involves none of the patent that issue in our recently filed ITC action as well as the patents that issue on our prior ITC action against Nokia which remains under appeal. So, with that let me turn it over to Scott.
Scott McQuilkinThanks Bill. In the agreement InterDigital will be selling Intel portfolio of approximately 1700 patents and patent applications leading primarily to 3G, 4G LTE, and 802.11 technology. Transaction is valued at 375 million and net amount will be paid in cash once the transaction is completed which we expect in the third quarter of 2012. The portfolio in this transaction includes approximately 1200 granted worldwide patents and the balance in applications. The U.S. patents in this transaction include approximately 160 issued patents and roughly 40 patent applications, none of the patents included in this deal are included in any of our ongoing litigations. In terms of the percentage of our portfolio that the deal represents, let me provide you some numbers. We currently have a portfolio of approximately 20,000 patents and patent applications. Given that this transaction represents approximately 8% of our overall portfolio. Also given that our R&D team continues to develop new innovations every day, we expect the continued monetization parts of our intellectual property portfolio to be an ongoing element of our strategy going forward. The added financial strength generated by the sale of these patents it also enabled us to pursue our licensing efforts and expansion of our strong patent portfolio even more aggressively. From a financial perspective although we are still working to finalize the accounting for this transaction, we expect that a significant portion of the 375 million from the sale will be recognized as revenue in the period in which the transaction closes. It has anticipated to be the third quarter of 2012. After taking into account taxes, the transaction is expected to generate approximately 250 million in cash. We also expect to record a related charge of approximately 3 million in second quarter 2012 to increase our accrual for the company’s long-term compensation program cycle ending December 31, 2012. You may recall we managed our performance incentives on rolling three cycles. So, this adjustment includes 10 quarters worth of an accumulated accrual. Read the rest of this transcript for free on seekingalpha.com