Philips has informed its CD-R disc licensees that compliant licensees under the so-called CD-R. Philips only license will be allowed to apply a one-time reduced royalty rate of US$ 0.035 per disc for the 3rd calendar quarter of 2004 only. Licensees wishing to discuss further details of this arrangement are requested to contact their regular contact within the Philips IP&S office for their territory.