Samsung Extends The Patent License Agreement Between Nokia And Samsung For Five Years; Companies Will Enter Into Binding Arbitration To Settle The Amount Of Additional Compensation

ESPOO, Finland, Nov. 4, 2013 (GLOBE NEWSWIRE) --
Nokia CorporationStock exchange releaseNovember 4, 2013 at 09.30 (CET +1)Nokia announced that Samsung has extended a patent licenseagreement between Nokia and Samsung for five years. The agreement would haveexpired at the end of 2013. According to the agreement, Samsung will payadditional compensation to Nokia for the period commencing from January 1, 2014onwards, and the amount of such compensation shall be finally settled in abinding arbitration which is expected to be concluded during 2015."This extension and agreement to arbitrate represent a hallmark of constructiveresolution of licensing disputes, and are expected to save significanttransaction costs for both parties", said Paul Melin, Chief IntellectualProperty Officer of Nokia.Nokia will retain its industry-leading patent portfolio following the proposedtransaction to sell substantially all of its Devices & Services business toMicrosoft and sees further opportunity to create value by investing ininnovation, and by actively managing its patent portfolio and licensingactivities.FORWARD-LOOKING STATEMENTSIt should be noted that Nokia and its business are exposed to various risks anduncertainties and certain statements herein that are not historical facts areforward-looking statements, including, without limitation, those regarding: A)the planned sale by Nokia of substantially all of Nokia's Devices & Servicesbusiness, including Smart Devices and Mobile Phones (referred to below as "Saleof the D&S Business") pursuant to the Stock and Asset Purchase Agreement, datedas of September 2, 2013, between Nokia and Microsoft International HoldingsB.V.(referred to below as the "Agreement"); B) the closing of the Sale of theD&S Business; C) obtaining the confirmation and approval of our shareholders forthe Sale of the D&S Business; D) receiving timely, or at all, necessaryregulatory approvals for the Sale of the D&S Business; E) expectations, plans orbenefits related to or caused by the Sale of the D&S Business; F) expectations,plans or benefits related to Nokia's strategies, including plans for Nokia withrespect to its continuing businesses that will not be divested in connectionwith the Sale of the D&S Business; G) expectations, plans or benefits related tochanges in leadership and operational structure; H) expectations and targetsregarding our operational priorities, financial performance or position, resultsof operations and use of proceeds from the Sale of the D&S Business; I) thetiming of the deliveries of our products and services; J) our ability toinnovate, develop, execute and commercialize new technologies, products andservices; K) expectations regarding market developments and structural changes;L) expectations and targets regarding performance, including those related tomarket share, prices, net sales and margins of products and services; M)expectations and targets regarding collaboration and partnering arrangements; N)the outcome of pending and threatened litigation, regulatory proceedings orinvestigations by authorities; O) expectations regarding the successfulcompletion of restructurings, investments, acquisitions and divestments on atimely basis and our ability to achieve the financial and operational targetsset in connection with any such restructurings, investments, divestments andacquisitions, as well as any expected plans and benefits related to or caused bysuch transactions; and P) statements preceded by "believe," "expect,""anticipate," "foresee," "sees," "target," "estimate," "designed," "aim","plans," "intends," "focus," "will" or similar expressions. These statements arebased on management's best assumptions and beliefs in light of the informationcurrently available to it. Because they involve risks and uncertainties, actualresults may differ materially from the results that we currently expect.Factors, including risks and uncertainties that could cause these differencesinclude, but are not limited to: 1) the inability to close the Sale of the D&SBusiness in a timely manner, or at all, for instance due to the inability ordelays in obtaining the shareholder approval or necessary regulatory approvalsfor the Sale of the D&S Business, or the occurrence of any event, change orother circumstance that could give rise to the termination of the Agreement; 2)the potential adverse effect on the sales of our mobile devices, businessrelationships, operating results and business generally resulting from theannouncement of the Sale of the D&S Business or from the terms that we haveagreed for the Sale of the D&S Business; 3) any negative effect from theimplementation of the Sale of the D&S Business, as we may forego othercompetitive alternatives for strategies or partnerships that would benefit ourDevices & Services business and if the Sale of the D&S Business is not closed,we may have limited options to continue the Devices & Services business or enterinto another transaction on terms favorable to us, or at all; 4) our ability toeffectively and smoothly implement planned changes to our leadership andoperational structure or maintain an efficient interim governance structure andpreserve or hire key personnel; 5) any negative effect from the implementationof the Sale of the D&S Business, including our internal reorganization inconnection therewith, which will require significant time, attention andresources of our senior management and others within the company potentiallydiverting their attention from other aspects of our business; 6) disruption anddissatisfaction among employees caused by the plans and implementation of theSale of the D&S Business, reducing focus and productivity in areas of ourbusiness; 7) the amount of the costs, fees, expenses and charges related to ortriggered by the Sale of the D&S Business; 8) any impairments or charges tocarrying values of assets or liabilities related to or triggered by the Sale ofthe D&S Business; 9) potential adverse effects on our business, properties oroperations caused by us implementing the Sale of the D&S Business; 10) theinitiation or outcome of any legal proceedings, regulatory proceedings orenforcement matters that may be instituted against us relating to the Sale ofthe D&S Business; 11) the success of our HERE strategy, including our ability toestablish a successful location-based platform and extend our location-basedservices across devices and operating systems; 12) our ability to protectnumerous patented standardized or proprietary technologies from third-partyinfringement or actions to invalidate the intellectual property rights of thesetechnologies; 13) our ability to maintain the existing sources of intellectualproperty related revenue and establish new such sources; 14) the intensity ofcompetition in the various markets where we do business and our ability tomaintain or improve our market position or respond successfully to changes inthe competitive environment; 15) our ability to keep momentum and increase ourspeed of innovation, product development and execution in order to bring newinnovative and competitive products and location-based or other services to themarket in a timely manner; 16) our ability to effectively and smoothly implementthe planned changes in our operational structure and achieve targetedefficiencies and reductions in operating expenses and our ability to completethe planned divestments and acquisition, including obtaining any neededregulatory approvals; 17) our ability to retain, motivate, develop and recruitappropriately skilled employees; 18) our dependence on the development of themobile and communications industry, including location-based and other servicesindustries, in numerous diverse markets, as well as on general economicconditions globally and regionally; 19) our ability to maintain and leverage ourposition and strengths, especially if we are unable retain the loyalty of ourmobile operator and distributor customers and consumers as a result of theimplementation of our strategies or other factors; 20) the performance of theparties we partner and collaborate with and our ability to achieve successfulcollaboration or partnering arrangements; 21) our ability to deliver ourproducts profitably, in line with quality requirements and on time, especiallyif the limited number of suppliers we depend on, many of which aregeographically concentrated with a majority based in Asia, fail to deliversufficient quantities of fully functional products, components, sub-assemblies,software and services on favorable terms and in compliance with our supplierrequirements; 22) our ability to manage efficiently our manufacturing andlogistics, as well as to ensure the quality, safety, security and timelydelivery of our products and services; 23) any actual or even alleged defects orother quality, safety and security issues in our products; 24) any inefficiency,malfunction or disruption of a system or network that our operations rely on;25) the impact of cybersecurity breach or other factors leading to an actual oralleged loss, improper disclosure or leakage of any personal or consumer datacollected by us or our partners or subcontractors, made available to us orstored in or through our products; 26) our ability to successfully manage thepricing of our products and services and costs related to our products andservices and our operations; 27) the potential complex tax issues andobligations we may face, including the obligation to pay additional taxes invarious jurisdictions and our actual or anticipated performance, among otherfactors, could result in allowances related to deferred tax assets; 28) exchangerate fluctuations, particularly between the euro, which is our reportingcurrency, and the US dollar, the Japanese yen and the Chinese yuan, as well ascertain other currencies; 29) our ability to protect the technologies, which weor others develop or which we license, from claims that we have infringed thirdparties' intellectual property rights, as well as our unrestricted use oncommercially acceptable terms of certain technologies in our product andservices; 30) the impact of economic, regulatory, political or other developmenton our sales, manufacturing facilities and assets located in emerging marketcountries as well as the impact of regulations against imports to thosecountries; 31) the impact of changes in and enforcement of government policies,technical standards, trade policies, laws or regulations in countries where ourassets are located and where we do business; 32) investigations or claims bycontracting parties in relation to exits from countries, areas or contractualarrangements; 33) unfavorable outcome of litigation, regulatory proceedings orinvestigations by authorities; 34) allegations of possible health risks fromelectromagnetic fields generated by base stations and mobile devices, and thelawsuits and publicity related to them, regardless of merit; 35) Nokia Solutionsand Networks' (renamed from Nokia Siemens Networks) also referred to as NSNsuccess in the mobile broadband infrastructure and related services market andits ability to effectively, profitably and timely adapt business and operationsto the diverse needs of its customers; 36) NSN's ability to maintain and improveits market position and respond successfully to changes and competition in themobile broadband infrastructure and related services market; 37) NSN's successin implementing its restructuring plan and reducing its operating expenses andother costs; 38) NSN's ability to invest in and timely introduce new competitiveproducts, services, upgrades and technologies; 39) NSN's dependence on limitednumber of customers and large, multi-year contracts; 40) NSN's liquidity and itsability to meet its working capital requirements, including access to availablecredit under its financing arrangements and other credit lines as well as cashat hand; 41) the management of NSN's customer financing exposure; 42) whetherongoing or any additional governmental investigations of alleged violations oflaw by some former employees of Siemens may involve and affect the carrier-related assets and employees transferred by Siemens to Nokia Siemens Networks(renamed Nokia Solutions and Networks); 43) any impairment of NSN's customerrelationships resulting from ongoing or any additional governmentalinvestigations involving the Siemens carrier-related operations transferred toNokia Siemens Networks (renamed Nokia Solutions and Networks), as well as therisk factors specified on pages 12-47 of Nokia's annual report on Form 20-F forthe year ended December 31, 2012 under Item 3D. "Risk Factors". Other unknown orunpredictable factors or underlying assumptions subsequently proving to beincorrect could cause actual results to differ materially from those in theforward-looking statements. Nokia does not undertake any obligation to publiclyupdate or revise forward-looking statements, whether as a result of newinformation, future events or otherwise, except to the extent legally required.About NokiaNokia is a global leader in mobile communications whose products have become anintegral part of the lives of people around the world. Every day, more than 1.3billion people use their Nokia to capture and share experiences, accessinformation, find their way or simply to speak to one another. Nokia'stechnological and design innovations have made its brand one of the mostrecognized in the world. For more information, visit http://www.nokia.com/about-nokia.Media Enquiries:NokiaCommunicationsTel. +358 7180 34900Email: press.services@nokia.comwww.nokia.com[HUG#1740172]