Seagate Technology Inc’s chief executive and chiarman, Al Shugart, was asked to resign yesterday by the company’s board of directors. Shugart, a co-founder of the company, had been with Seagate since 1979, and was one of a team that orginally developed the Winchester disk at IBM Corp back in the 1960s. He is replaced by Stephen Luczo, who became president and chief operating officer last September. Seagate last week reported a net loss of $530m for the year on revenue down 23.7% at $6.82bn. Last year the company made a profit of $658m, but has since been affected by a general slump in prices and industry over capacity. The board said that the time has come to make a change in the leadership of the company.
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