APPLE COMPUTER: Apple files fraud suit against warranty service providers

   Apple Computer, Inc.  announced that it filed a fraud suit in the United States District Court
in San Jose, California, on June 25, 1998, against four companies previously authorized to provide warranty service and repairs on Apple hardware and peripheral equipment. The suit contends that four former Apple Service Providers combined to defraud Apple of payment for service and repair work that was never performed, and into shipping replacement parts based upon false claims.

   "Apple is deeply committed to providing the highest quality of service and support to our customers," said Mitch Mandich, Apple's senior vice president of Worldwide Sales. "Apple Service Providers who defraud Apple not only hurt Apple, but put our customers at risk of not getting the service and support they deserve. We intend to aggressively protect the rights of our customers to high quality, reliable service for their Apple products."

   Apple's suit seeks to recover over $600,000 in money paid and parts shipped to these Service Providers based upon false pretenses. In addition, Apple seeks an injunction against further fraud by any of the named defendants. The Service Providers named in the suit are: IRASYS, IRA Systems, Inc., Integrated Concepts Solutions and PC Systems Design Corp. Two individuals, Fred Ladjavardi and Sean Ledge, are also named as alleged principles of one or more of the defendant companies.

   Apple Computer, Inc. ignited the personal computer revolution in the 1970s with the Apple II, and reinvented the personal computer in the 1980s with the Macintosh. Apple is now recommitted to its original mission - to bring the best personal computing products and support to students, educators, designers, scientists, engineers, businesspersons and consumers in over 140 countries around the world.

   Apple, the Apple logo and Macintosh are registered trademarks of Apple Computer, Inc. Additional company and product names may be trademarks or registered trademarks of the individual companies and are respectfully acknowledged.

   CONTACT: Rhona Hamilton , Apple Computer Tel: +1 408 974 6439 e-mail: hamilton@apple.com