Infineon to pay $837 million to settle long-pending Qimonda dispute
Qimonda's administrator had sued Infineon in 2010 for 3.35 billion euros, arguing the German chipmaker had transferred operations to it at an inflated price.
Infineon Technologies has reached a settlement with Qimonda’s insolvency administrator by agreeing to pay 753.5 million euros (USD 837.21 million), according to a Reuters report.
Qimonda's administrator had sued Infineon in 2010 for 3.35 billion euros, arguing the German chipmaker had transferred operations to it at an inflated rate.
The company was spun off from Infineon but collapsed after chip prices crashed.
It filed for insolvency after being unable to thrash out details of a rescue package with its parent company.
"As a result of the payments, Infineon will utilize the provisions set aside for the legal dispute. The amount in excess of this will have a negative impact on earnings and cash flow from discontinued operations," Infineon said.
