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GENTEX AND DONNELLY REACH SETTLEMENT IN PATENT DISPUTE

 ZEELAND, Mich., May 20 /PRNewswire/ -- Gentex Corporation (NASDAQ-NMS: GNTX) today announced it has reached a settlement with Donnelly Corporation (AMEX: DON) of its claim for infringement by Donnelly of Gentex U.S. Patent Nos. 4,443,057 ('057) and 4,902,108 ('108), which were scheduled for further trial in June and August 1993. This settlement, which was made in an effort to reduce litigation costs on issues which may not be in future contention, does not apply to products made, used or sold after May 20, 1993, the date of settlement. The settlement also does not include the new Donnelly mirrors which use "solid safe" or "solid film" electrochromics, which may be the subject of future patent litigation between the parties.
 Gentex Executive Vice President Kenneth La Grand said Donnelly's introduction of a video microchip for sensing glare in automatic mirrors, and Gentex's decisive win in April of the trial of its claim for infringement by Donnelly of Gentex's U.S. Patent No. 5,128,799 ('799), make the issues related to the Gentex '057 and '108 patents less relevant at this time. He further stated, "The recent Final Judgment and Injunction against Donnelly, prohibiting it from further infringement of the Gentex '799 patent, provides significant protection for the Gentex electrochromic mirror product line.
 "Gentex is further ahead by settling these secondary issues now and reserving the significant legal expenses for major issues," said La Grand. "Our policy, however, remains crystal clear. Gentex will continue to take decisive action against infringers, and nothing in this agreement changes that policy."
 Specific details of this settlement agreement are confidential and cannot be disclosed. However, no license was granted to Donnelly under any of the Gentex patents and nothing in this agreement prevents Gentex from bringing suit on its patents against Donnelly for products made, used or sold after May 20, 1993. While future litigation between Donnelly and Gentex remains on the horizon, both parties immediately benefit from eliminating the June and August trials and their accompanying legal expense.
 Gentex U.S. Patent No. 4,443,057 is for a glare-sensing system for automatic mirrors; U.S. Patent No. 4,902,108 is for solution-phase electrochromic devices, and U.S. Patent No. 5,128,799 is for a variable reflectance motor vehicle mirror.
 Gentex Corporation is headquartered in Zeeland. The company develops, manufactures and markets proprietary electro-optical products: patented electrochromic automatic-dimming Interior and Exterior Night Vision Safety(TM) (NVS(TM)) Mirrors for the worldwide motor vehicle industry, and an extensive line of fire protection products for commercial applications.
 Gentex was the first company in the world to produce a commercial electrochromic mirror for the motor vehicle industry, and is the leading supplier of these mirrors to the worldwide automotive industry.
 -0- 5/20/93
 /CONTACT: Connie Hamblin of Gentex Corporation, 616-772-1800/
 (GNTX DON)


CO: Gentex Corporation; Donnelly Corporation ST: Michigan IN: AUT SU:

JG -- DE035 -- 0958 05/20/93 16:59 EDT
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Publication:PR Newswire
Date:May 20, 1993
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