Seagate Announces Pricing of $430 Million

Seagate Technology announced the pricing of its previously announced offering of $430 million aggregate principal amount of 10.00% Senior Secured Second-Priority Notes due 2014.

The Notes will be issued by Seagate Technology International, an indirect wholly-owned subsidiary of Seagate Technology, and guaranteed by Seagate Technology, Seagate Technology HDD Holdings and all of Seagate Technology’s other subsidiaries that guarantee its senior secured credit facility, on a full and unconditional basis and secured by a second-priority lien on the assets that secure the senior secured credit facility.

The Notes are being sold in a private placement to qualified institutional buyers pursuant to Rule 144A and Regulation S under the Securities Act of 1933, as amended. The sale of the Notes is expected to close on May 1, 2009, subject to the senior secured credit facility becoming effective on or prior to such date and subject to customary closing conditions.

Seagate estimates that the net proceeds from the offering will be approximately $399 million after deducting discounts and estimated offering expenses.

Seagate intends to use the net proceeds from the offering for general corporate purposes, including the repayment or repurchase of all or some of its $300 million aggregate principal amount of floating rate senior notes due October 1, 2009 and other indebtedness.