Northrop Grumman Corp. said it will pay Cogent Inc. $25 million to settle a two-year old lawsuit over automated fingerprint identification technology.

The Los Angeles-based defense contracting giant will also pay an additional $15 million for a non-exclusive license to use the automated fingerprint identification software developed and owned by Pasadena-based Cogent.

The companies also inked a five-year deal where Northrop will pay Cogent $20 million for products and services.

The original suit, filed in 2005, was over automated fingerprint identification software used on a large contract Northrop has with the British Police Information Technology Organisation.

Shares in Northrop were up 37 cents to $78.10 while shares in Cogent were down 20 cents to $14.13 in afternoon trading Monday.