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Biotech / Medical : GUMM - Eliminate the Common Cold -- Ignore unavailable to you. Want to Upgrade?

To: Hank who wrote (3866)	6/8/2001 11:50:21 AM
From: Sir Auric Goldfinger	Read Replies (3) \| Respond to of 5582

The Quigley Corporation, Maker of COLD-EEZE(R), Wins Settlement In Patent Infringement Suit Against Gum Tech DOLYESTOWN, Pa., June 8 /PRNewswire/ -- The Quigley Corporation (Nasdaq: QGLY), the maker of COLD-EEZE(R), the nation's leading pharmacist-recommended cold remedy of its kind, today announced acceptance of a minimum settlement in excess of $1.6 million in its patent infringement suit against Gel Tech, LLC and Gum Tech International, Inc. The suit was being tried in the United States District Court for the Eastern District of Pennsylvania. The Quigley Corporation filed the patent infringement suit against Gel Tech, the developer of Zicam, and Gum Tech, its distributor, in November 1999. Subsequent motions by the defendants to dismiss Quigley's lawsuit were denied by the court. Under the agreement, Gum Tech will pay The Quigley Corporation $1,137,500 for a limited license for Quigley's patent on the use of zinc gluconate for the treatment of the duration and symptoms of the common cold. Gum Tech is also required to pay The Quigley Corporation an ongoing royalty of 5.5 percent from April 1, 2001 on all Zicam cold relief sales. In addition, Gum Tech has guaranteed to pay Quigley a minimum of $500,000 in ongoing royalties regardless of sales through April 1, 2002. Responding to the settlement agreement, Guy J. Quigley, chairman and chief executive officer of The Quigley Corporation, said, "We are grateful to the court for its thorough analysis and well-reasoned rulings throughout the course of this suit. Our Company is permitted to make advertising claims that COLD-EEZE(R) has been proven, in two double-blind placebo controlled studies at prestigious institutions, to reduce the duration and severity of the common cold symptoms by 42%. Consumer confusion caused by other zinc products that are not clinically proven to work is harmful to our business and none is more egregious than a product that infringes on our patent." Mr. Quigley concluded, "On behalf of millions of loyal customers and our company's shareholders, we are very pleased to have this suit come to a highly successful conclusion." To ensure compliance with the settlement terms, The United States District Court for the Eastern District of Pennsylvania will retain jurisdiction for any disputes arising from a violation of the agreement and order. The Quigley Corporation is a leading marketer and developer of diversified natural health and homeopathic products including COLD-EEZE(R), proven in two double blind studies to reduce the duration and severity of common cold symptoms. In addition to over-the-counter products, the company launched its Ethical Pharmaceutical Division to introduce an upcoming line of diabetes- related products. The company's subsidiaries include Darius International Inc. and Caribbean Pacific Natural Products, Inc. Darius is a new direct selling organization specializing in proprietary health and wellness products. Caribbean Pacific is a major developer and partnership marketer of all-natural suncare and skincare products for luxury resorts, theme parks and spas. The Quigley Corporation's customers include leading national wholesalers and mass merchandisers as well as independent and chain food, drug and discount stores. Certain statements in this press release are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and involve known and unknown risk, uncertainties and other factors that may cause the Company's actual performance or achievements to be materially different from the results, performance or achievements expressed or implied by the forward-looking statement. Factors that impact such forward-looking statements include, among others, changes in worldwide general economic conditions, changes in interest rates, government regulations, and worldwide competition. MAKE YOUR OPINION COUNT - Click Here tbutton.prnewswire.com SOURCE The Quigley Corporation -0- 06/08/2001 /CONTACT: Media, Don Schuster of The Torrenzano Group, 212-681-1700, Ext. 103; or Investors, The Quigley Corporation, Shareholder Relations, 267-880-1153/ /Web site: quigleyco.com /