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OPTICAL RECORDING STATEMENT ON JUDGMENT IN TIME WARNER CASE

 OPTICAL RECORDING STATEMENT ON JUDGMENT IN TIME WARNER CASE
 WILMINGTON, Del., June 23 /PRNewswire/ -- A federal court jury here has found that Time Warner Inc. and a subsidiary willfully infringed two patents on compact disk technology, lawyers for Optical Recording Corporation announced today. Damages were assessed at 6 cents per disk, payable to the patent owner, Optical Recording Corporation, a privately held Canadian company.
 According to ORC's trial counsel, Lawrence B. Goodwin of Davis Hoxie Faithfull & Hapgood in New York City, this will amount to a judgment in excess of $30 million, including prejudgment interest. ORC also will move within a few days for damages to be trebled because the infringement was willful.
 The patents involve fundamental synchronization techniques used in the recording and playback of Compact Discs, and are based on technology developed by the inventor, James T. Russell, at Battelle Memorial Institute in the late 1960s and early 1970s. Time Warner's subsidiary and co-defendant, WEA Manufacturing, Inc., manufactures Compact Discs for Time Warner's own record labels as well as for other labels.
 The trial before District Judge Joseph J. Farnan and a nine member jury extended over five weeks from May 11, 1992. According to Goodwin, post-trial motions are due in two weeks. In addition to ORC's motions for trebling damages and reimbursement of its attorneys fees, Goodwin said, Time Warner can be expected to file the usual motion to overturn the verdict.
 The ORC verdict is the second major jury verdict won in Wilmington by Davis Hoxie attorneys this spring. On May 8, a jury found that Conlux USA Corporation had infringed a patent owned by Mars, Incorporated on coin testing in vending machines. John B. Pegram, who tried that case for Mars, said that damages are to be assessed by the same jury in September. An injunction was entered on May 19 and a stay of the injunction pending appeal was denied by the Court of Appeals for the Federal Circuit in June 12.
 -0- 6/23/92
 /CONTACT: Lawrence B. Goodwin of Davis Hoxie Faithfull & Hapgood, 212-757-2200, or fax, 212-586-1461/ CO: Optical Recording Corp.; Time Warner Inc. ST: Delaware, New York IN: SU:


PS-OS -- NY070 -- 2964 06/23/92 15:52 EDT
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Date:Jun 23, 1992
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