Financially-troubled storage giant Seagate Technology Inc announced that co-founder and former chief executive Alan Shugart has resigned from the company’s board of directors, effective immediately. Two weeks ago, Shugart had been asked to step down as CEO by the board after the company reported a net loss for the fiscal year of $530m on revenue that slid nearly 27% to $6.82bn. Seagate’s financial health has been suffering from pricing pressures and general oversupply of disk drives and said it was time to make a change in its leadership. Shugart’s departure from the board effectively ends any and all involvement with the company, a spokesperson said. Seagate said that it expects to take a one-time charge of $8m to $10m in the current quarter as a result of a separation agreement that existed between Shugart and the company. No further information on the charge or the agreement could be divulged, because of legal concerns the company said.
