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APPLE COMPUTER INC. ANNOUNCES AGREEMENT IN PRINCIPLE TO SETTLE TWO SECURITIES CLASS ACTION LAWSUITS

 APPLE COMPUTER INC. ANNOUNCES AGREEMENT IN PRINCIPLE TO
 SETTLE TWO SECURITIES CLASS ACTION LAWSUITS
 CUPERTINO, Calif., Dec. 20 /PRNewswire/ -- Apple Computer Inc. (NASDAQ: AAPL) today announced that it has reached agreements in principle to settle two securities class action lawsuits filed against it in 1984 and 1991. Both agreements are subject to court approval.
 The first agreement settles a class action filed on behalf of purchasers of Apple common stock between Nov. 12, 1982 and Sept. 23, 1983. Defendants are Apple and certain of its past and present officers and directors. Plaintiffs alleged that the company did not make accurate disclosures concerning the Lisa computer, a proprietary disk drive known as Twiggy, and certain other matters. In 1989 all claims except those relating to the disk drive were decided in the defendants' favor. In May 1991, a jury rendered a verdict in the plaintiffs' favor on the allegations relating to the disk drive, but in September the court set the jury verdict aside, entered judgment in favor of all officer and director defendants, and ordered a new trial against Apple. A fund of $16 million will be created to settle the lawsuit. The fund will be used to pay the fees and expenses of plaintiffs' counsel and claims of qualifying shareholders.
 The second agreement settles a class action filed on behalf of purchasers of Apple's common stock between Jan. 17, 1991 and April 30, 1991. Defendants are Apple and certain of its officers and directors. Plaintiffs alleged that the Company did not make accurate disclosures concerning its financial and business prospects for fiscal year 1991 and for periods within it. A fund of $3.8 million will be created to settle the lawsuit. The fund will be used to pay the fees and expenses of plaintiffs' counsel and claims of qualifying shareholders.
 A substantial portion of the amount paid in settlement will be paid by Apple's insurance company.
 Apple continues to deny all material allegations in the complaints, but agreed to the settlements to avoid the expense and risk of further legal proceedings, and to put to rest the claims asserted in the actions. Final settlement of the actions is subject to execution of formal settlement agreements, approval by the federal district court and certain other conditions. If the court preliminarily approves the settlements, members of the classes will be sent written notifications of the terms of the proposed settlements, and hearings will be held for the court to consider final approval of the proposed settlements. Apple expects that the court will consider preliminary approval of the settlements during January or February of 1992.
 Apple, the Apple logo and Lisa are registered trademarks of Apple Computer Inc.
 -0- 12/20/91
 /CONTACT: Brooke Cohan of Apple Computer Inc., 408-974-3019/
 (AAPL) CO: Apple Computer, Inc. ST: California IN: CPR SU:


DG -- SJ001 -- 4220 12/20/91 08:30 EST
COPYRIGHT 1991 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1991 Gale, Cengage Learning. All rights reserved.

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Publication:PR Newswire
Date:Dec 20, 1991
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