8-K

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934

Date of Report: (Date of earliest event reported): January 29, 2010

ION Geophysical Corporation

(Exact name of registrant as specified in its charter)

Delaware
(State or other jurisdiction of
incorporation) 1-12691
(Commission file number) 22-2286646
(I.R.S. Employer Identification No.)

2105 CityWest Blvd, Suite 400
Houston, Texas 77042-2839
(Address of principal executive offices, including Zip Code)

(281) 933-3339
(Registrant’s telephone number, including area code)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 8.01. Other Events.

     On February 1, 2010, ION Geophysical Corporation (the “Company”) issued a press release announcing that on January 29, 2010, the jury returned a verdict in its favor in a lawsuit filed by the Company against seismic equipment manufacturer Sercel, Inc. (“Sercel”), in the United States District Court for the Eastern District of Texas. A copy of the press release is attached as Exhibit 99.1.

     The Company filed the lawsuit, styled Input/Output, Inc. et al v. Sercel, Inc. (5-06-cv-00236), in 2003, alleging that Sercel’s digital seismic sensor units infringe the Company’s United States Patent No. 5,852,242, which is incorporated in ION’s VectorSeis^® sensor technology.

     The jury found that Sercel’s 408, 428 and SeaRay digital seismic sensor units infringed the Company’s patent, and awarded the Company $25.2 million in compensatory past damages. In addition to the jury award, the Company will be entitled to recover its court costs related to the case, along with prejudgment interest accruing from the date of each infringement. The Company intends to ask the court to issue a permanent injunction to prohibit Sercel from making, using, selling, offering for sale or importing any infringing products into the United States.

     The information in this Current Report on Form 8-K (including Exhibit 99.1) shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the Exchange Act), or otherwise subject to the liability of that section, and shall not be incorporated by reference into any registration statement or other document filed under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.

Item 9.01 Financial Statements and Exhibits.

(a)	Financial statements of businesses acquired.
	Not applicable.
(b)	Pro forma financial information.
	Not applicable.
(c)	Shell company transactions.
	Not applicable.
(d)	Exhibits.

Exhibit Number	Description
99.1	Press Release dated February 1, 2010.

2 

SIGNATURES

     Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Date: February 1, 2010	ION GEOPHYSICAL CORPORATION
	By:	/s/ DAVID L. ROLAND
		David L. Roland
		Senior Vice President, General Counsel and Corporate Secretary

3 

EXHIBIT INDEX

Exhibit Number	Description
99.1	Press Release dated February 1, 2010.

4 

EX-99.1

Exhibit 99.1

ION Wins $25 Million Patent Infringement Jury Verdict Against Sercel

Verdict Covers Multicomponent (Full-wave) Seismic Sensor Technology

HOUSTON, TX — February 1, 2010 — ION Geophysical Corporation (NYSE: IO) today announced that on January 29, 2010, the jury in a patent infringement lawsuit filed by ION against seismic equipment provider Sercel, Inc. in the United States District Court for the Eastern District of Texas returned a verdict in its favor. The jury found that Sercel infringed the ION patent and awarded ION $25.2 million in past compensatory damages. ION intends to ask the court to issue a permanent injunction to prohibit Sercel from making, using, selling, offering for sale or importing any infringing products into the United States.

The lawsuit alleged that Sercel’s 408, 428 and SeaRay digital seismic sensor units infringe ION’s United States Patent No. 5,852,242, which is incorporated in ION’s VectorSeis^® sensor technology. ION products that use the VectorSeis technology include ION’s System Four^®, Scorpion^®, FireFly^®, and VectorSeis Ocean seismic acquisition systems.

Bob Peebler, ION’s Chief Executive Officer, commented, “We are very pleased with the jury verdict. ION prides itself on its advanced technology and we believe that the verdict further demonstrates not only our resolve to vigorously defend our patents but also the strength of ION’s extensive technology portfolio.”

About ION

ION is a leading provider of geophysical technology, services, and solutions for the global oil & gas industry. ION’s offerings allow E&P operators to obtain higher resolution images of the subsurface to reduce the risk of exploration and reservoir development, and enable seismic contractors to acquire geophysical data more efficiently. Additional information about ION is available at www.iongeo.com.

Contacts

ION (Investor relations)
Chief Financial Officer
Brian Hanson, +1 281.879.3672