I would read this as saying in effect ‘yes, our patent application has been rejected, but we can appeal this decision, and we intend to do so.’
Appeals in this area are pretty common as I understand it, but I have no idea as to the success rate.
Things could be worse, but getting a patent application rejected on the grounds of prior art is hardly a positive.
Ann: Clarification of recent analyst report on Patent Protection, page-12
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