MILPITAS, CA. - October 21, 1998 -- Read-Rite Corporation (NASDAQ: RDRT) today announced it has been qualified and is shipping magnetoresistive (MR) recording heads in volume to Seagate Technology, Inc. for its 3.4GB per 3.5-inch disc desktop program.

"We are very pleased Seagate selected Read-Rite as a key supplier to complement their internal MR technology programs," said Alan S. Lowe, president and chief operating officer. "The development of this product culminates more than a year of collaborative effort between the two companies," he added.

"Read-Rite is becoming an important supplier of recording heads to Seagate, and we are pleased to be working with them on our newest program," said William D. Watkins, chief operating officer of Seagate.

Seagate Technology, Inc. (NYSE: SEG) is a leading provider of technology and products enabling people to store, access, and manage information. Seagate is committed to providing best-in-class products to help people get information when, where and how they want it. Seagate is the world's largest manufacturer of disc drives, magnetic discs and read-write heads, an innovator in tape drives, and a leading developer of Enterprise Information Management software. Seagate can be found around the globe and on the World Wide Web at http://www.seagate.com.