May 02, 2005

Seagate and Cornice Reach Partial Settlement of their Pending Patent Lawsuits

SCOTTS VALLEY, Calif. - Seagate Technology (NYSE:STX) and Cornice today announced that they had reached a partial settlement of their pending patent lawsuits. Under the terms of the settlement, for the sake of judicial economy and pending a resolution of the dispute in the United States District Court for the District of Delaware, Cornice has agreed that it would cease manufacture by May 31, 2005 of the products that were the subject of a Complaint filed by Seagate before the United States International Trade Commission on June 22, 2004, which include the Cornice 1.0, 1.5 and 2.0 GB products. A hearing before an Administrative Law Judge at the ITC had been scheduled to begin on May 2, 2005.

The partial settlement does not affect either Seagate's pending complaint for patent infringement in the US District Court or Cornice's cross-complaint. A trial in the Delaware lawsuit remains scheduled for June, 2006.

About Cornice
Cornice Inc. is a leading innovator in compact, low-cost, high-capacity storage that enables a new generation of pocketable consumer electronic devices for the world's foremost brand-name manufacturers. The Cornice Storage Element (SE) is durable, integrated personal storage that brings new levels of affordability and content capacity to these devices. The Cornice SE is built into a wide variety of consumer products, including mobile phones, MP3 players, personal video recorders, GPS devices and portable storage products.

About Seagate
Seagate is the worldwide leader in the design, manufacturing and marketing of hard disc drives, providing products for a wide-range of Enterprise, Desktop, Mobile Computing, and Consumer Electronics applications. Seagate's business model leverages technology leadership and world-class manufacturing to deliver industry-leading innovation and quality to its global customers, and to be the low cost producer in all markets in which it participates. The company is committed to providing award-winning products, customer support and reliability to meet the world's growing demand for information storage. Seagate can be found around the globe and at www.seagate.com.

Seagate and Seagate Technology are registered trademarks of Seagate Technology LLC. All other trademarks or registered trademarks are the property of their respective owners.