Oct 12, 1999

Seagate Annouces FY2000 First Quarter Results

SCOTTS VALLEY, Calif. - Seagate Technology, Inc.(NYSE:SEG) today reported revenue of $1.682 billion and net income and diluted net income per share of $2 million and $0.01, respectively, for its quarter ended October 1, 1999. This includes a restructuring charge of $112 million, other charges related to the Company's investment in Veritas Software Corporation ("Veritas") of $102 million, and a gain on the sale of a portion of the Company's investment in Veritas of $193 million. Excluding the restructuring charge, the other charges related to the Company's investment in Veritas, and the gain on sale of Veritas stock, the pro forma diluted net income per share was $0.07.

For the quarter ended October 2, 1998, revenue, net loss and net loss per share were $1.553 billion, $30 million and $0.12, respectively. Excluding the $77 million charge in connection with an amendment to the purchase agreement for the August 1997 acquisition of Quinta Corporation and a $7 million charge related to the separation agreement with the Company's former Chief Executive Officer pro forma diluted net income per share for the quarter ended October 2, 1998 was $0.19. For the immediately preceding quarter ended July 2, 1999, revenue was $1.643 billion and net income and diluted net income per share were $1.02 billion and $4.11, respectively. Excluding all items related to the contribution of the Company's NSMG business to Veritas, the pro forma diluted net income per share for the quarter ended July 2, 1999 was $0.30.

During the quarter ended October 1, 1999, the Company acquired approximately 21.3 million shares of its common stock for approximately $639 million. The repurchase of a portion of these shares completed the June 1997 stock repurchase program as amended in February 1999. The remainder of the shares were repurchased under an April 1999 amendment to the program in which up to an additional 25 million shares of the Company's common stock may be acquired in the open market.

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For further information contact:
John Paulsen, (831) 439-2499
john_paulsen@notes.seagate.com
Woody Monroy, (831) 439-2838
woody.monroy@seagate.com

Seagate Technology, Inc. is a leading provider of technology and products enabling people to store, access, and manage information. The Company is committed to providing best-in-class products to help people get information when, where and how they want it. Seagate is the world's largest manufacturer of disc drives, magnetic discs and read-write heads, an innovator in tape drives, and a leading developer of Enterprise Information Management software. For automated news, stock and financial information by phone, dial toll-free 877-SEG-NYSE. Outside the U.S. and Canada, dial 760-704-4368.

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