Seagate 2013 Annual Report Download - page 115

Table of Contents
SEAGATE TECHNOLOGY PLC
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
gave notice that it had determined to affirm in part, reverse in part and vacate in part the ALJ's Initial Determination; the Commission found that
no violation of Section 337 by Seagate or LSI has occurred based on findings that certain of the patent claims at issue were invalid, and that
Realtek failed to show the existence of an industry in the U.S. that exploits the patent. In view of the uncertainty regarding the possible outcome
of this case and the nature of the relief sought, the Company does not believe that it is currently possible to determine a reasonable estimate of
the possible loss or range of loss, or other possible adverse result, if any, that may be incurred with respect to this matter.
Enova Technology Corporation v. Seagate Technology (US) Holdings, Inc., et al. —On June 5, 2013, Enova Technology Corporation filed
a complaint against Seagate Technology (US) Holdings, Inc. and Seagate Technology LLC in the U.S. District Court for the District of Delaware
alleging infringement of U.S. Patent No. 7,136,995, "Cryptographic Device," and U.S. Patent No. 7,900,057, "Cryptographic Serial ATA
Apparatus and Method." The complaint seeks unspecified compensatory damages, enhanced damages, injunctive relief, attorneys' fees, and other
relief. The trial is scheduled to begin May 9, 2016. The Company believes the claims are without merit and intends to vigorously defend this
case. In view of the uncertainty regarding the amount of damages, if any, that could be awarded in this matter, the Company does not believe that
it is currently possible to determine a reasonable estimate of the possible range of loss related to this matter.
Environmental Matters
The Company's operations are subject to U.S. and foreign laws and regulations relating to the protection of the environment, including
those governing discharges of pollutants into the air and water, the management and disposal of hazardous substances and wastes and the
cleanup of contaminated sites. Some of the Company's operations require environmental permits and controls to prevent and reduce air and
water pollution, and these permits are subject to modification, renewal and revocation by issuing authorities.
The Company has established environmental management systems and continually updates its environmental policies and standard
operating procedures for its operations worldwide. The Company believes that its operations are in material compliance with applicable
environmental laws, regulations and permits. The Company budgets for operating and capital costs on an ongoing basis to comply with
environmental laws. If additional or more stringent requirements are imposed on the Company in the future, it could incur additional operating
costs and capital expenditures.
Some environmental laws, such as the Comprehensive Environmental Response Compensation and Liability Act of 1980 (as amended, the
"Superfund" law) and its state equivalents, can impose liability for the cost of cleanup of contaminated sites upon any of the current or former
site owners or operators or upon parties who sent waste to these sites, regardless of whether the owner or operator owned the site at the time of
the release of hazardous substances or the lawfulness of the original disposal activity. The Company has been identified as a potentially
responsible party at several sites. At each of these sites, the Company has an assigned portion of the financial liability based on the type and
amount of hazardous substances disposed of by each party at the site and the number of financially viable parties. The Company has fulfilled its
responsibilities at some of these sites and remains involved in only a few at this time.
While the Company's ultimate costs in connection with these sites is difficult to predict with complete accuracy, based on its current
estimates of cleanup costs and its expected allocation of these costs, the Company does not expect costs in connection with these sites to be
material.
108