Seagate Technology said it has
settled all disputes with Amstrad PLC, which charged Seagate with selling it
faulty disk drives and nearly ruining Amstrad's business. The settlement
will result
in about a $22 million reduction of the $153 million charge recorded in
Seagate's
fourth-quarter 1997 financial results. This reduction in the settlement
cost will be
reflected in Seagate's results for the quarter ending January 2, 1998.
Short Take: Seagate, Amstrad settle dispute
Seagate Technology said it has settled all disputes with Amstrad PLC, which charged Seagate with selling it faulty disk drives and nearly ruining Amstrad's business. The settlement will result in about a $22 million reduction of the $153 million charge recorded in Seagate's fourth-quarter 1997 financial results. This reduction in the settlement cost will be reflected in Seagate's results for the quarter ending January 2, 1998.