Alloc, Beaulieu, Armstrong Win Pergo Patent Fight

Chicago, IL, December 18, 2007 --Alloc Inc., Berry Wood S.A., members of Beaulieu International Group, and Armstrong World Industries won a patent infringement case brought by Pergo Inc. concerning patents covering locking systems for mechanically locking laminate flooring panels commonly sold in large home improvement stores.

Beaulieu International Group is a Belgian manufacturer of flooring products sold throughout the world, and includes Alloc Inc., located in Racine, Wis. Armstrong is a Beaulieu customer and licensee.

The patents in dispute were issued in the summer of 2002. Within a few weeks, Pergo filed a suit for infringement against Armstrong. Pergo sought compensatory damages of about $84.2 million and an injunction, which would have resulted in the shut down of the Alloc plant in Racine, and the cessation of U.S. sales of the accused products by Beaulieu and Armstrong.

After a two-week trial in the Eastern District of Wisconsin, the jury ruled against Pergo and invalidated all of Pergo’s asserted claims.

In addition to being a big victory for Beaulieu and Armstrong, and preserving their market position, this case dealt a blow to Pergo’s international licensing program, which includes the patents that were found to be invalid. A final judgment will be entered in about 60 days.

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