Acer 2007 Annual Report Download - page 114

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111
and lowered risks compared to a single-
vendor policy. Wit h the ever-changing
global economy, it is essential to be prepared
for risks and challenges at all times. The
Company’s risk management team has a clear
sense of crisis management and has taken
the precautions where necessary. We have
set up a crisis mechanism that will minimize
potential damages to ensure the Company’s
sustainable management.
8.2.3 Predicted Benefits and Potential
Risk to the Company with Factory/Office
Expansion
Not applicable.
8.2.4 Potential Risks to the Company
from Procurement and Sales
None.
8.2.5 Affect on Company from Shares
Transfers by Directors, Supervisors or
Shareholders Holding More Than 10%
Shares
Not applicable.
8.2.6 Impact and Potential Risks to
Company Management Team Change
Not applicable.
8.2.7 The major litigious, non-litigious or
administrative disputes that: (1) involve
Acer and/or any Acer director, any Acer
supervisor, the general manager, any
person with actual responsibility for the
firm, any major shareholder holding a
stake of greater than 10 percent, and/or
any company or companies controlled
by Acer; and (2) have been concluded
by means of a final and unappealable
judgment, or are still under litigation.
Where such a dispute could materially
affect shareholders' equity or the prices
of the company's securities, the facts
of the dispute, amount of money at
stake in the dispute, the date of litigation
commencement, the main parties to the
dispute, and the status of the dispute as
of the date of printing of this annual report
shall be disclosed as follows :
1. (1)Similar to other IT companies, Acer
receives notices from third parties
asse rting t hat Acer has inf ri nged
certain patents or demands Acer obtain
certain patents licenses. Acer takes
these matters seriously and may take
appropriate counter actions.
(2)During March-April 2007, Hewlett-
P a c k a r d D e v e l o p m e n t C o m p a n y
( H P ) f i l e d p a t e n t i n f r i n g e m e n t
lawsuits against Acer Inc. and its U.S.
subsidiary, Acer America Corporation,
which is pending before the United
States District Court for the Eastern
District of Texas and United States
International Trade Commission. In
addition to the patent infringement
counterclaims (with the United States
District Court for the Eastern District
of Texas) against HP with certain