MORRISVILLE, N.C. – Telecommunications gear manufacturer Tekelec has agreed to pay $5 million in credits to settle a lawsuit with a customer.

Bouygues Telecom, a mobile telecommunications provider in France, sued Tekelec over a network outage that occurred in 2004. Other terms of the settlement are confidential, Tekelec said in a statement.

The credits can be used for Tekelec products and services.

“We are very pleased that we have been able to amicably settle our lawsuit with Bouygues without going to trial,” Tekelec Chief Executive officer Frank Plastina said in a statement.

Tekelec (NASDAQ: TKLC) shares traded up 14 cents at $12.35 in late afternoon trading. By the close, shares finished up 24 cents at $12.45.