As a result of the Preliminary Injunction and Evidence Preservation ruling made against PCCooler in  
2006, and the 11 lawsuits filed thereafter by Zalman against PCCooler with regard to PCCooler’s  
products (CPU/VGA coolers) that infringe Zalman’s Chinese Patent ZL0280004.8 and Design Patent  
ZL20043001142.1, the Civil Court of Shen Zhen, China, ruled as follows on March 15, 2007(As the
decision was appealed by PC Cooler, the case is now pending at a higher court).  
 
“The Defendant, PCCooler, must cease all acts that infringe Zalman’s patents, including but not  
limited to the manufacturing and selling of products that infringe Zalman’s patents, and  
dismantle/scrap any and all patent infringing products in stock, as well as any and all components,  
molds, and manufacturing equipment used to manufacture products that infringe Zalman’s patents.
 
The Defendant must pay Zalman the amount ruled by the court within 10 days of the ruling’s  
effective date.
 
The Defendant must also compensate Zalman for any and all expenses incurred for filing and  
proceeding with this lawsuit.”