UPDATE 1-Medtronic to pay Abbott $400 mln to end stent suit
* Medtronic, Abbott agree not to sue each other again
* Medtronic says it will take Q1 charge for settlement
(Adds details of agreement)
CHICAGO, July 27 (Reuters) - Medtronic Inc (MDT.N) said on Monday it would pay $400 million to Abbott Laboratories Inc(ABT.N) as part of an agreement to settle a legal dispute over heart stent technology.
The settlement resolves all outstanding intellectual property litigation between the two medical device makers, who agreed not to sue each other again in the area of coronary stent and stent delivery systems for at least 10 years.
Medtronic said it will also pay $42 million to evYsio Medical Devices as part of a sublicense to Abbott of evYsio's stent design.
Stents are wire-mesh tubes inserted into clogged arteries to improve blood flow.
Medtronic said it expects to report a special charge against its first-quarter financial results for the settlement with Abbott. (Reporting by Susan Kelly, editing by Gerald E. McCormick)