Volcano says jury reaches verdict against co in lawsuit

Fri Feb 5, 2010 8:52am EST

* Says jury finds unit breached contract with Lightlab

* Says intends to appeal verdict

Feb 5 (Reuters) - Medical device maker Volcano Corp (VOLC.O) said a jury reached a verdict against the company and its unit Axsun Technologies in a litigation filed by Lightlab Imaging Inc.

The jury found Axsun breached its contract with Lightlab and Volcano intentionally interfered with Lightlab's business relationship with Axsun, the company said in a statement.

In December 2008, Volcano acquired Axsun, which had an agreement to supply tunable lasers to Lightlab.

The jury was not charged with determining damages, which, if any, would be established in a second jury trial, the company said.

"Volcano intends to appeal the jury verdict and is not in the position to estimate the possible loss attributable to this verdict," it said.

Volcano said it does not believe this development will have a material impact on Axsun's business.

Shares of Volcano closed at $18.98 Thursday on Nasdaq. (Reporting by Jennifer Robin Raj in Bangalore; Editing by Vinu Pilakkott)

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