Inteliquent to Make One-Time Payment of $9M to Settle with Largest Customers
Inteliquent^tm (Nasdaq: IQNT), a leading provider of global interconnection and interoperability solutions, announced today that it has definitively settled a previously disclosed dispute with one of its largest customers relating to the termination of certain long distance traffic. As part of the settlement, Inteliquent will make a one-time payment of $9 million in December to this customer. The settlement agreement contained a full and mutual release related to this dispute.
In addition to the settlement, Inteliquent and the customer have agreed to new terms that govern a portion of their commercial relationship. As a result, effective October 5, 2012, Inteliquent will continue to provide various voice services to the customer, but at pricing that is significantly lower than the previous rate structure. Also, the Company will pay the customer a significant amount for certain long distance traffic that it terminates to the customer's network.
Inteliquent also confirms that it is not aware of any similar material disputes with other telecom carriers.
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