Apple Outlines New Strategy for Worldwide Manufacturing and Distribution
Operations

CUPERTINO, California--September 9, 1992--Apple Computer, Inc. today
announced a realignment of its worldwide manufacturing and distribution
activities that will support Apple's aggressive new product plans, speed
delivery of products to customers, and lower manufacturing costs. Major
elements of the new strategy include a relocation of Apple's Fremont,
Calif., final systems assembly to the company's Sacramento, Calif.,
facility; consolidation of all printed circuit board (PCB) manufacturing
among Apple's Fountain, Colo., Cork, Ireland and Singapore facilities; and
a workforce reduction of about 345 employees.

The realignment is the result of a worldwide operations study conducted by
Apple. The study, which sought to align Apple's operations resources with
the company's vigorous new product plans, investigated options for
expediting distribution of products to customers and lowering long-term
manufacturing costs. The results of the study indicated that to remain
both innovative and competitive, manufacturing functions would need to be
integrated with distribution and better streamlined to support Apple's
future success in the computer industry.

"Apple's new operations model is key to our aggressive new product plans
and will help us retain our competitive edge throughout the decade," said
Michael Spindler, Apple's president and chief operating officer. "By
combining our manufacturing and distribution activities, we will be able
to respond to customer needs quickly and efficiently, while significantly
reducing our manufacturing costs .

Apple will record a charge against earnings of about $20 million before
taxes in its current fiscal quarter for expenses related to the
realignment of manufacturing and distribution.

The following measures will be implemented worldwide to integrate
operations:

* Sacramento: Apple expects that 380 new positions will be added to the
U.S. Western Logistics Center in Sacramento to support the new Operations
Center. The Operations Center is designed to bring customer-aligned
functions such as final assembly, testing, customization, and distribution
together in one geographically strategic location. The transfer of Fremont
final assembly to Sacramento is anticipated to be completed by June 1993.

* Fremont: Fremont's systems assembly will be relocated to Sacramento,
beginning immediately. Additionally, final assembly for the United States
currently being done in Singapore will be relocated to Sacramento and
Fountain. Fremont PCB assembly will be distributed among the Fountain,
Cork, and Singapore sites.

Currently, the implementation of this strategy will eliminate about 300 of
the 700 positions now located in Fremont. The remaining positions will be
relocated to Sacramento and Fountain.

Financial assistance, layoff benefits and job placement assistance will be
offered to employees through the company's Career Resource Center. The
Fremont facility, currently leased by Apple, will cease operation in June
1993.

* Fountain: Fountain will continue to produce most of Apple's portable
products for North America and Latin America. As Fremont relocates its
final assembly operation to Sacramento, a part of its PCB assembly will be
moved to Fountain to support North America and Latin America. As a result
of this move, Fountain is expected to gain 50 to 60 positions. Fountain
will continue to develop factory-direct ship capabilities.

* Cork: Cork will continue to perform PCB and final assembly for the
European market. European final assembly that was previously done in
Singapore will be transferred to Cork. Cork will continue to develop
capabilities to support the ongoing drive for increased marketshare, and
to satisfy customers' need for customization and faster product delivery.
In addition, the site will implement cost-efficiency measures that will
result in the loss of about 45 positions.

* Apeldoorn, Netherlands: Apple will open a new facility in Apeldoorn in
December 1992. This state-of-the-art facility will provide system
configuration and direct ship capabilities for Europe.

* Singapore: Singapore will become a dedicated final assembly operation for
Japan, Australia, and Asia. It will transfer final assembly currently
being done for the United States and Europe to those regions. In addition,
it will continue to provide worldwide support for PCBs and monitors.

Apple Computer, 20525 Miriana Ave, Cupertino, CA 95014
408-996-1010

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