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DEI Settles for $10 Million from Industry Competitor

22 June 1998

DEI Settles for $10 Million from Industry Competitor

    VISTA, Calif.--June 19, 1998--Directed Electronics Inc. today received a $10 million payment from vehicle security competitor Code-Alarm Inc., settling all litigation between the two companies.
    "It was far less than we were owed," said DEI president and chief executive officer Darrell Issa, "but bringing this litigation to a conclusion and allowing us to concentrate on our core security business makes the discount more than worthwhile."
    The settlement ends five years of bitter litigation between the two companies. The $10 million payment, on top of the $6 million previously paid, brings DEI's total winnings to more than $16 million.
    "Yogi Berra said, 'It ain't over 'til it's over.' Well, it's finally over!" said Keith Krzewski, chief operating officer of Directed Electronics Inc. "This tumultuous chapter in our company's history is now behind us."
    DEI is America's largest vehicle security company, makers of Python, Sidewinder and Viper, the best-selling vehicle security and convenience system in the world.