SCHAUMBURG, Ill., 26 May 2006 – Motorola, Inc.
(NYSE: MOT) welcomes the announcement that Vodafone has completed its
acquisition of Turkish cellular phone operator, Telsim Mobil Telekomunikasyon
(“Telsim").
Following completion of the transaction, Motorola received a cash payment of
$410 million pursuant to an agreement previously reached to settle Motorola’s
financial and legal claims against Telsim and certain other parties.
Motorola issued the following statement: "We congratulate the Turkish
Savings and Deposit Insurance Fund (TMSF) and Vodafone on the successful tender
and transfer of Telsim. We appreciate TMSF’s diligent efforts throughout this
process to ensure a successful outcome for all parties."
As previously announced, in October 2005, Motorola agreed to settle its
financial and legal claims against Telsim and certain other parties for a cash
payment of $500 million, which the company received in October 2005, plus the
right to receive 20% of the proceeds from the sale of Telsim assets over $2.5
billion.
In connection with the previously announced agreement, Motorola dismissed its
litigation against Telsim, as well as its demand for arbitration against the
Government of Turkey at the International Centre for the Settlement of
Investment Disputes (ICSID) in Washington, D.C. In addition, Motorola agreed
not to pursue collection efforts against certain corporate defendants under TMSF
control, subject to certain conditions.
Motorola may continue its efforts, except in Turkey and certain other agreed
upon countries, to enforce the judgments previously rendered on behalf of
Motorola against the Uzan family for perpetrating a massive fraud against
Motorola through the Uzan’s prior control of Telsim.
Source: Motorola press release
