Adaptec Nabs Counterfeiters; Southern California firms named in legal action.

MILPITAS, Calif.--(BUSINESS WIRE)--Sept. 16, 1996--Adaptec, Inc. today announced several steps it has taken to aggressively pursue counterfeiting of its industry standard input/output devices.

On September 7, 1996, U.S. Marshalls were armed with a temporary restraining order alleging numerous violations of copyright and trademark law. That same day, the marshalls entered the premises of Hornet Technology U.S.A. Corporation of Brea, Calif., Nitro Link Corporation also of Brea, Calif., Area Electronics Systems, Inc. of Placentia, Calif., and Priority Micro, Inc. of Irvine, Calif.

Evidence was recovered from the raids to the degree that all of these defendants have admitted in a signed stipulation that they have engaged in some or all of the unlawful counterfeiting activities alleged in Adaptec's complaint. As a result, they are enjoined by a Preliminary Injunction from further infringements on Adaptec trademarks, from any shipment or concealing of counterfeit Adaptec AHA-2940 or AHA-3940 series host adapters, from the destruction or concealing of any records that may relate to Adaptec's complaint.

Grant Saviers, Adaptec president and CEO, said "These actions show we will pursue all legal means to protect the good name of our products and the good name of our distributors and resellers. Adaptec has worked hard for over 13 years to win a reputation for top quality and for unmatched compatibility. We will not stand by as others seek to improperly benefit from our investment, our work and our success."

Saviers encouraged any resellers who have purchased from the firms listed above any AHA-2940 or AHA-3940 series host adapters or kits to contact inside sales at Adaptec at [phone]. Service personnel can then help determine if counterfeit merchandise has been purchased. "Genuine items will be swapped for any product purchased that was not manufactured by us," concluded Saviers.

Based on investigations completed at this time, no material impact on operating results is expected as a result of these actions.

About Adaptec

Adaptec provides bandwidth management technologies for organizations building the global information infrastructure. Its high performance I/O, connectivity, and network products are incorporated into the systems and products of major computer and peripheral manufacturers. Founded in 1981 and headquartered in Milpitas, Calif., Adaptec (NASDAQ: ADPT) employs 2500 people worldwide in design, manufacturing, sales, service and distribution. Adaptecs home page is http://www.adaptec.com.

CONTACT: Adaptec

Alicia Moore, Vice President and General Counsel

or Bruce Frymire, P.R. Director, 408/945-8600