ClearOne Announces the Outcome of Arbitration Proceedings

Settles with UBS Financial Services for $45 Million 
SALT LAKE CITY, Jan. 16, 2013 /CNW/ - ClearOne (NASDAQ: CLRO) previously 
reported in its periodic filings that it expected resolution by the end of 
2012 of two pending arbitration matters concerning auction rate securities 
sold to ClearOne by Morgan Stanley & Co., Inc. ("Morgan Stanley", NYSE: MS) 
and UBS Financial Services, Inc. ("UBS", NYSE: UBS).  ClearOne has determined 
the outcome of both matters, involving substantially identical claims against 
two different parties, effective January 14, 2013. 
With respect to the Morgan Stanley arbitration, the arbitration panel denied 
ClearOne's claims in their entirety. 
With respect to the UBS arbitration under a different panel ClearOne has 
settled its dispute for a total amount of Forty-Five Million Dollars 
($45,000,000), effective December 10, 2012.  The settlement agreement was 
subject to a confidentiality provision pending resolution of the Morgan 
Stanley arbitration matter described immediately above.  The settlement award 
is subject to a 15% contingency legal fee payable to ClearOne's litigation 
counsel.  The UBS settlement proceeds have been held in a trust account 
pending resolution of the Morgan Stanley matter and will be disbursed to 
ClearOne shortly, with interest, less the contingency fee paid to ClearOne's 
legal counsel. 
"We are pleased the litigation surrounding auction rate securities has been 
settled in favor of ClearOne," said Zee Hakimoglu, President, Chief Executive 
Officer and Chairman of ClearOne. "We will carefully evaluate over time, 
opportunities available to us and use the cash for selective infusions of 
technology, sales & marketing, infrastructure, and other investments to fuel 
our growth, as well as acquisitions that may strategically fit our business 
and are accretive to our performance." 
About ClearOne 
ClearOne is a global company that designs, develops and sells conferencing, 
collaboration, streaming and digital signage solutions for audio, video and 
data multimedia communication.  The performance and simplicity of its advanced 
comprehensive solutions enhance the quality of life. ClearOne products are 
designed for business and residential use, offering unprecedented levels of 
functionality, reliability and scalability.  More information about the 
company can be found at www.clearone.com. 
This release contains "forward-looking" statements that are based on present 
circumstances and on ClearOne's predictions with respect to events that have 
not occurred, that may not occur, or that may occur with different 
consequences and timing than those now assumed or anticipated.  Such 
forward-looking statements, including the successful commercialization of 
expected future product launches and any statements of the plans and 
objectives of management for future operations, are not guarantees of future 
performance or results and involve risks and uncertainties that could cause 
actual events or results to differ materially from the events or results 
described in the forward-looking statements.  Such forward-looking statements 
are made only as of the date of this release and ClearOne assumes no 
obligation to update forward-looking statements to reflect subsequent events 
or circumstances.  Readers should not place undue reliance on these 
forward-looking statements. 
http://investors.clearone.com 
Contact:  Brent Johnson Investor Relations  801-303-3577 
brent.johnson@clearone.com 
http://www.clearone.com 
SOURCE: ClearOne 
To view this news release in HTML formatting, please use the following URL: 
http://www.newswire.ca/en/releases/archive/January2013/16/c6277.html 
CO: ClearOne
ST: Utah
NI: CPR ELE INTERNET LAW VERDICTS LAWVIEWS  
-0- Jan/16/2013 11:31 GMT
 
 
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