TCK

TCK (Tokai Carbon Korea, Inc.) filed a civil lawsuit to the Seoul Central District Court against FTAK(Ferrotec Advanced Materials Korea), GJ Korea, and three terminated employees (two from TCK, and one from 3rd party supplier) for the prohibition of trade secrets and compensation for damages.

The trade secret for the prohibition against infringement is in regards to the equipment used in the etcher process of the world's leading semiconductor companies, which we commercialized through research and development for more than six years.

On February 8, 2019, the individuals in the above defendants were prosecuted on charges of violating the law on preventing illegal competition (illegally acquiring and leaking company secrets), and two incorporations above (FTAK and GJ Korea) are currently facing criminal trials on charges of violating the law on preventing illegal competition and protecting business secrets at Pyeongtaek Branch of the Suwon District Court

Our recent civil action lawsuit is part of our efforts to protect our technology and trade secrets, and we will continue to do our best to protect our technology, trade secrets and intellectual property rights, and protect the interests of our customers and shareholders.