Boston Scientific 8-K 2010
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Boston Scientific Corporation
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
Item 1.01 Entry into a Material Definitive Agreement.
On February 1, 2010, we announced the settlement of three patent disputes with Johnson & Johnson and Cordis Corporation (together, "J&J"). The disputes date back to 2003 and cover infringement of our Jang patent and J&J’s Palmaz and Gray patents, all of which involve intellectual property in the cardiovascular arena. Boston Scientific will make a $1.725 billion payment to J&J in connection with the settlement. Under the settlement, we will pay J&J $1 billion on February 1, 2010, and the balance on or before the first week of January 2011. We plan to post a $745 million letter of credit, which will cover the $725 million balance and interest.
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.