Tandy Professional Forum   Section: The Soapbox
Subject: No more Tandy computers!   Total messages: 1
=====================================================

#53194   05/26/93   22:21:21
From: Wayne Day, 76703,376
To:   All

Tandy Corp has decided to get out of the computer manufacturing
business, totally.  They had previously decided to split off the
manufacturing end of the business into a separate subsidiary, but
now, AST Research has decided to purchase the manufacturing end
of Tandy Corporation, lock stock and barrel, including GRiD.

Here's the press release from AST:


05/26 0913  AST RESEARCH TO ACQUIRE TANDY'S PERSONAL COMPUTER
...

IRVINE, CA (MAY 26) BUSINESS WIRE - AST Research Inc.
(NASDAQ/NMS:ASTA) Wednesday announced that it has executed a
letter of intent with Tandy Corp. concerning AST's purchase of
certain assets and assumption of certain liabilities relating to
Tandy's personal computer manufacturing operations.
   The assets to be purchased will include GRiD, Tandy-GRiD
Europe and computer manufacturing plants in Texas and Scotland.
The specific assets to be purchased (which will exclude accounts
receivable) and liabilities to be assumed will be detailed in a
definitive purchase agreement to be entered into by the parties.

   The purchase price is estimated not to exceed $175 million.
The consideration will be paid in the form of either cash and
three-year promissory notes, or all cash, at the election of
AST.
   It is currently anticipated that, after review of the assets
to be purchased and liabilities to be assumed, a significant
portion of the purchase price will be paid in the form of
three-year promissory notes.
         "We are pleased to announce the proposed acquisition of
Tandy's personal computer operations,"  said Safi Qureshey, AST
president and chief executive officer.  "Tandy's strength in
multimedia and pen-based technology strongly complements AST's
existing product line-up.  Also, the additional manufacturing
capacity and purchasing leverage this transaction brings is
important as AST continues to execute its market share capture
strategy."
   According to the IDC, for calendar 1992 Tandy/GRiD Systems
ranked seventh in U.S. personal computer vendors market share
with 3.4 percent while AST ranked eighth with a U.S. market share
of 2.8 percent.
   Consummation of the transaction would be subject to, among
other conditions, the entering into and approval by each
company's board of directors of a definitive purchase agreement,
and regulatory approvals.  Subject to the above, the transaction
is expected to close in July. Company Background
   Ranked No. 367 on the Fortune 500 list of America's largest
industrial companies, AST Research is a prominent market share
holder in desktop, file server and notebook computers.  The
company is represented in 100 countries and operates 35
international subsidiaries and sales offices.
   AST's corporate headquarters is located at 16215 Alton
Parkway, P.O. Box 57005, Irvine, Calif., 92619-7005.  Telephone:
 714/727-4141, 800/876-4278. Fax:  714/727-9355.
   --30--DEM/la
   CONTACT:  AST Research Inc., Irvine
    Al Melrose, 714/727-7780
    Misty Ohmart, 714/727-7728



