Logitech 2005 Annual Report Download - page 90

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agreement includes non-recurring engineering (“NRE”) service fees primarily for specific development and
maintenance of Anoto’s licensed technology. Expenses incurred for license fees and NRE service fees to Anoto
were $.7 million and $.9 million during fiscal years 2005 and 2004.
Also, in connection with the Company’s investment in A4Vision, Inc. a Logitech executive was appointed
to the A4Vision board of directors. A4Vision is a privately held company from which Logitech licenses face
tracking software. The license agreement requires Logitech to pay a license fee based on the number of its
products sold with A4Vision’s licensed software. Expense incurred for license fees to A4Vision amounted to $.2
million during fiscal years 2005 and 2004.
C. Interests of Experts and Counsel
Not applicable.
ITEM 8. FINANCIAL INFORMATION
A. Consolidated Statements and Other Financial Information
Please refer to Item 18 “Financial Statements” and pages F-1 through F-26 of our Consolidated Financial
Statements. In addition, for more information regarding our results of operations, please refer to Item 5
“Operating and Financial Review and Prospects.”
Legal Proceedings
From time to time, Logitech becomes involved in claims and legal proceedings that arise in the ordinary
course of its business. The Company is currently subject to several such claims and legal proceedings and intends
to defend against them vigorously.
Refer to the discussion in Item 3D Risk Factors – “Pending and future lawsuits could adversely impact us.”
Dividends
Under Swiss law, a corporation pays dividends upon a vote of its shareholders. This vote typically follows
the recommendation of the corporation’s board of directors. Although the Company has paid dividends in the
past, Logitech’s board of directors announced in 1997 its intention not to recommend to shareholders any
payment of cash dividends in the future in order to retain any future earnings for use in the operation and
expansion of the business. In more recent years, the Company has also used retained earnings to repurchase its
shares.
B. Significant Changes
None.
ITEM 9. THE OFFER AND LISTING
A. Offer and Listing Details
Stock Price Information
Registered Shares
Logitech’s registered shares are listed and traded on the SWX Swiss Exchange, where the share price is
denominated in Swiss francs.
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