Adaptec For Sale

Adaptec, Inc. announced that Subramanian ‘Sundi’ Sundaresh, Chief Executive Officer since November 2005 and President since May 2005, will leave the employment of the Company effective January 4, 2010. The Board of Directors has negotiated a consultant agreement with Mr. Sundaresh under which he will assist the company with the ongoing process to sell the Company’s operations.

The Board appointed, effective January 4, 2010, John J. Quicke, age 60, to serve as Interim President and Chief Executive Officer of the Company. He has served as a director of the Company since December 2007. He is a Managing Director and operating partner of Steel Partners LLC.

Jack L. Howard, Chairman of the Board, commented: "We are all grateful for the many years of dedicated service and value that Mr. Sundaresh has provided to the Corporation. Mr. Sundaresh has unique knowledge and expertise concerning the assets, business strategy and management of the Company. So we are delighted that he has agreed to work with us as a consultant and look forward to his continued hard work and assistance in the sale process." Mr. Howard further stated, "The Board has the upmost confidence that John Quicke as Interim CEO can lead the Company through the sale process."

The company also announced that it has retained Blackstone Advisory Partners L.P as its exclusive financial advisor to assist in the potential sale or other disposition of certain assets of the company and its business operations.

The company further announced that it has accepted the resignation of Douglas E. Van Houweling from its Board, effective immediately. The Board has 5 members following Mr. Van Houweling’s resignation. Mr. Howard thanked Mr. Van Houweling for his seven (7) years of service on the Board.

Finally, the company has been advised by the Nasdaq Stock Market that it will need to hold its next Annual Meeting of Stockholders by the end of March 2010 in order to remain compliant with Nasdaq Stock Market rules relating to the holding of an Annual Meeting of Stockholders. Accordingly, the company intends to hold its 2009 Annual Meeting of Stockholders by the end of March 2010. In connection with the preparation for the Annual Meeting, the Nominating Committee of the Company will begin a search process for potential directors.