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Case 5:11-cv-01846-LHK Document 3339-8 Filed 12/23/15 Page 1 of 4

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HAROLDJ.MCELHINNY(CASBN
66781)
hmcelhinny@ mofo.com
RACHEL KREY ANS (CA SBN 116421)
rkrevans@mofo.com
RUTH N . BORENSTEIN (CA SBN 133797)
rborenstein@mofo.com
ERIK J. OLSON (CA SBN 175815)
ejolson@mofo.com
Morrison & Foerster LLP
425 Market Street
San Francisco, California 94105-2482
Telephone: (415) 268-7000
Facsimile: ( 415) 268-7522

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Attorneys for Plaintiff and
Counterclaim-Defendant APPLE INC.

WILLIAM F. LEE (pro hac vice)
william.lee@wilmerhale.com
WILMER CUTLER PICKERING
HALE AND DORR LLP
60 State Street
Boston, Massachusetts 02109
Telephone: (617) 526-6000
Facsimile: (617) 526-5000
MARK D. SELWYN (CA SBN 244180)
mark. selwyn@wilmerhale.com
WILMER CUTLER PICKERING
HALE AND DORR LLP
950 Page Mill Road
Palo Alto, California 94304
Telephone: (650) 858-6000
Facsimile: (650) 858-6100

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Attorneys for Plaintiffand Counterclaim-Defendant Apple Inc.

UNITED STATES DISTRICT COURT
NORTHERN DISTRICT OF CALIFORNIA
SAN JOSE DIVISION

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APPLE INC. , a California corporation,
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Plaintiff,

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vs.
SAMSUNG ELECTRONICS CO., LTD., a
Korean business entity; SAMSUNG
ELECTRONICS AMERICA, INC., a New
York corporation; SAMSUNG
TELEC0Jvllv1UNICATIONS AMERICA,
LLC, a Delaware limited liability company,

Case No. 1 l -cv-01846-LHK

DECLARATION OF JULIE L. DA VIS,
CPA, IN SUPPORT OF APPLE'S
MOTION FOR SUPPLEMENTAL
DAMAGES AND PREJUDGMENT
INTEREST

Defendants.

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DECLARATION OF J ULIE D AVIS ISO A PPLE MOT FOR SUPPLEMENTAL DAMAGES

CASE No. l l-cv-01846-LHK
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Case 5:11-cv-01846-LHK Document 3339-8 Filed 12/23/15 Page 2 of 4

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I, Julie L. Davis, CPA, hereby declare as follows:

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1.

I am a Principal at Davis & Hosfield Consulting LLC, located at 20 North Wacker

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Drive, Suite 2150, Chicago, Illinois 60606. I have been retained by Apple Inc. to serve as a

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damages expert in the above-captioned matter. I have been providing audit and financial

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consulting services to attorneys and corporate clients for over thirty-seven years, and have

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worked on at least 300 intellectual property disputes over the course of my career.

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2.

Through my work on behalf of Apple, I have acquired personal knowledge of the

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matters stated herein. I submit this declaration in support of Apple' s motion for supplemental

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damages and prejudgment interest. For the purposes of this declaration, and as with my other

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work for Apple in this matter, I have been assisted by professionals from Stout Risius Ross

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("SRR"). I have discussed with SRR personnel their work and procedures to ensure that they

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were consistent with my directions and that the work product was prepared in accordance with

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the high professional standard to which I hold my own staff
I have prepared this declaration to calculate the supplemental damages and

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prejudgment interest that Samsung owes Apple in Case No. 1l-CV-01846. I summarize these

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amounts in Exhibit 1. As shown there, supplemental damages are $178,659,870. Prejudgment

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interest on the supplemental damages is $1 , 192,490 through the date of the hearing on Apple's

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motion for supplemental damages (March 24, 2016).

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Supplemental Damages

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4.

The Court previously addressed how supplemental damages should be calculated.

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In its March 1 Order re Damages, the Court instructed that the jury verdict for the relevant

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products for which supplemental damages are sought should be converted to a per-unit amount

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on a product-by-product basis, and the resulting figures should be multiplied by Samsung's

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actual sales of each product beginning on August 25, 2012 - the day after the verdict at the first

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trial. (March 1 Order re Damages, Dkt. 2271 at 5-6.) Specifically, the Court stated, "It would be

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more appropriate to determine the per-sale amount on a product-by-product basis, and use that

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per-sale amount to determine the supplemental damages amount for each product that has

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DECLARATION OF JU LIE D AVIS ISO APPLE MOT FOR S UPPLEMENT AL D AM AGES

CASE No. 11-cv-O 1846-LH[(

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Case 5:11-cv-01846-LHK Document 3339-8 Filed 12/23/15 Page 3 of 4

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remained on the market for any post-verdict period. Because the jury returned an award for each

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product separately, the Court can simply divide the jury award for each product by that product's

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number of sales to calculate this per-product amount." (Id. at 5.)

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5.

The August 24, 2012 and November 21, 2013 jury verdicts include per-product

damages awards on the verdict forms .
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JX1500 and JX1500A2 provide a statement of the number of units of the

infringing products included in the verdicts.
7.

Using this information, I calculated the per-unit amounts to be used for

supplemental damages on a product-by-product basis for the five products that Samsung sold

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after August 24, 2012 on which Apple seeks supplemental damages. The calculations supporting

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these figures are included in Exhibit 2.1.

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8.

I next multiplied the per-unit amounts by sales beginning on August 25, 2012, the

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day after the jury' s verdict and the starting date for supplemental damages in this case pursuant

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to the March 1 Order re Damages. Samsung provided unit sales in a statement that it produced

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on September 30, 2015, which provided monthly sales numbers beginning on August 25, 2012

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for each of the five products on which Apple seeks supplemental damages. I understand from

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counsel that Apple believes that all the sales included in the September 30, 2015 statement are

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subject to a calculation of supplemental damages. Based on this instruction, I included the

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relevant unit sales from the September 30, 2015 statement in the table at the top of Exhibit 2.

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9.

In the table at the bottom of Exhibit 2, I have applied the Court's methods as

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stated in its March 1 Order to calculate supplemental damages from August 25, 2012 through

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January 2015, the last month reflecting sales information for one of the five products at issue.

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The table at the bottom of Exhibit 2 provides a complete statement of all supplemental damages

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owed by Samsung.

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10.

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As shown on Exhibit 2 and Exhibit 1, the total supplemental damages that

Samsung owes Apple are $178,659,870.

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DECLARATION OF JULIE DAVIS ISO APPLE MOT FOR S UPPLEMENT AL DAMAGES

CASE No. ll-c v-01846-LHK.

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Case 5:11-cv-01846-LHK Document 3339-8 Filed 12/23/15 Page 4 of 4

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Prejudgment Interest
11.

The Court previously concluded that prejudgment interest should be calculated

using the United States 52-week T -Bill rate. (March l Order re Damages, Dkt. 2271 at 7-8.)
12.

I have accordingly calculated the prejudgment interest that Samsung owes Apple

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on the supplemental damages award through the date of the hearing on Apple's supplemental

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damages motion (currently scheduled for March 24, 2016-see December 10, 2015 Case

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Management Order, Dkt. 3329 at I), with a per diem amount thereafter. I compounded interest

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on January 1 of each year by adding accrued interest from the prior year to the relevant damages

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base as of that time, consistent with the compounding methodology submitted in the Declaration

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of Marylee Robinson dated September 21, 2012. (Dkt. 1982-71~18.) As reflected on Exhibits

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1 and 4, Apple is entitled to $1, 192,490 in prejudgment interest through the date of the hearing

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on Apple's motion for supplemental damages (March 24, 2016), and $2,363 each day thereafter.

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I declare under penalty of perjury that the foregoing is true and correct and that this
Declaration was executed this 22°d day of December 2015, at Santa Barbara, California.

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DECLARATION OF JULIE DAVIS ISO APPLE MOT FOR SUPPLEMENTAL DAMAGES

CASENO. ll-CV-01846-LHK

sd-673602

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