Oct 16, 2000
As part of the settlement, the investor group has agreed to pay an additional $50 million for Seagate's operating assets and reduce the amount of cash required to be held in escrow by Seagate to cover certain potential tax liabilities from a maximum of $300 million to $150 million. The additional $50 million will be available for distribution to Seagate shareholders once the settlement is consummated, which is expected to occur after the closing of the acquisition. Final settlement of the litigation is conditioned upon, among other things, execution of a stipulation of settlement and court approval.
Seagate, VERITAS and the investor group have agreed to the settlement solely to avoid the burden, expense and distraction of continuing litigation.
About Seagate
Seagate (NYSE:SEG) is a leading provider of the Internet Infrastructure 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, Storage Area Network (SAN) solutions and a leading developer of Business Intelligence software. Seagate can be found around the globe and at http://www.seagate.com. 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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