April 23, 2007

Federal District Judge Finds Citron Electronics Co. Ltd. (Citron), Chinese DVD Products Manufacturer, Liable for Additional Damages for Breach of DVD6C License Agreement

April 23, 2007 (Tokyo) --- Toshiba Corporation, on behalf of the DVD6C Licensing Group (DVD6C) consisting of nine leading developers of DVD technology and formats --- Hitachi, Ltd., Matsushita Electric Industrial Co., Ltd., Mitsubishi Electric Corporation, Samsung Electronics Co., Ltd., Sanyo Electric Co., Ltd., Sharp Corporation, Toshiba Corporation, Victor Company of Japan, Ltd. (JVC) and Warner Bros. Home Entertainment Inc. --- today announced that it has won a further legal victory against former licensee Citron Electronics Co., Ltd., a supplier to CyberHomeEntertainment, Inc. Judge Lawrence McKenna of the United States District Court for the Southern District of New York entered a second judgment that Citron is liable to Toshiba for breach of contract for more than US$26.1 million. As previously announced, Judge McKenna entered a separate judgment in October of 2006 that the DVD6C Patent License Agreement with Citron was lawfully terminated and that Citron was liable for more than US$9.5 million. Citron's total liability to Toshiba for breach of the DVD6C Patent License Agreement thus exceeds US$35.7 million.

It is cautioned that the sale, offering for sale, use, importation or other disposal of DVD products of Citron may constitute infringement of patent rights in countries where essential patents of DVD6C members have been issued or registered.

Toshiba will continue to diligently enforce Toshiba's patent rights against any and all infringers.