<PAGE>
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 13D
Under the Securities Exchange Act of 1934
(Amendment No.____________)*
Storage Technology Corporation
- --------------------------------------------------------------------------------
(Name of Issuer)
common stock, par value $.10 per share
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(Title of Class of Securities)
862111200
- --------------------------------------------------------------------------------
(CUSIP Number)
Jeffrey M. Elliott
Executive Vice President
Iridian Asset Management LLC
276 Post Road West
Westport, CT 06880-4704
203-341-9009
- --------------------------------------------------------------------------------
(Name, Address and Telephone Number of Person
Authorized to Receive Notices and Communications)
September 9, 1999
- --------------------------------------------------------------------------------
(Date of Event which Requires Filing
of this Statement)
If the filing person has previously filed a statement of Schedule 13G to
report the acquisition which is the subject of the Schedule 13D, and is filing
this schedule because of Rule 13d-1(e), 13d-1(f) or 13d-1(g), check the
following box [ ].
*The remainder of this cover page shall be filled out for a reporting person's
initial filing on this form with respect to the subject class of securities, and
for any subsequent amendment containing information which would alter the
disclosures provided in a prior cover page.
The information required on the remainder of this cover page shall not be deemed
to be "filed" for the purpose of Section 18 of the Securities Exchange Act of
1934 ("Act") or otherwise subject to the liabilities of that section of the Act
but shall be subject to all other provisions of the Act (however, see the
Notes).
Page 1 of 15 Pages
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CUSIP No. 862111200 Schedule 13D Page 2 of 15 Pages
- --------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
Iridian Asset Management LLC
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2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*
(a) [ X ]
(b) [ ]
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3 SEC USE ONLY
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4 SOURCE OF FUNDS*
OO
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5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO
ITEMS 2(d) OR 2(e) [ ]
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6 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
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NUMBER OF 7 SOLE VOTING POWER
SHARES 0
BENEFICIALLY --------------------------------------------------------------
OWNED BY 8 SHARED VOTING POWER
EACH 6,887,190
REPORTING --------------------------------------------------------------
PERSON 9 SOLE DISPOSITIVE POWER
WITH 0
--------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
6,887,190
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11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
6,887,190
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12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES*
[ ]
- --------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
6.9%
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14 TYPE OF REPORTING PERSON*
IA
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*SEE INSTRUCTIONS BEFORE FILLING OUT!
<PAGE>
CUSIP No. 862111200 Schedule 13D Page 3 of 15 Pages
- --------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
LC Capital Management, LLC
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2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*
(a) [ X ]
(b) [ ]
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3 SEC USE ONLY
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4 SOURCE OF FUNDS*
OO
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5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO
ITEMS 2(d) OR 2(e) [ ]
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6 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
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NUMBER OF 7 SOLE VOTING POWER
SHARES 0
BENEFICIALLY --------------------------------------------------------------
OWNED BY 8 SHARED VOTING POWER
EACH 6,887,190
REPORTING --------------------------------------------------------------
PERSON 9 SOLE DISPOSITIVE POWER
WITH 0
--------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
6,887,190
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11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
6,887,190
- --------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES*
[ ]
- --------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
6.9%
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14 TYPE OF REPORTING PERSON*
HC
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*SEE INSTRUCTIONS BEFORE FILLING OUT!
<PAGE>
CUSIP No. 862111200 Schedule 13D Page 4 of 15 Pages
- --------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
CL Investors, Inc.
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2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*
(a) [ X ]
(b) [ ]
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3 SEC USE ONLY
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4 SOURCE OF FUNDS*
OO
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5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO
ITEMS 2(d) OR 2(e) [ ]
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6 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
- --------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES 0
BENEFICIALLY --------------------------------------------------------------
OWNED BY 8 SHARED VOTING POWER
EACH 6,887,190
REPORTING --------------------------------------------------------------
PERSON 9 SOLE DISPOSITIVE POWER
WITH 0
--------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
6,887,190
- --------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
6,887,190
- --------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES*
[ ]
- --------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
6.9%
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14 TYPE OF REPORTING PERSON*
HC
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*SEE INSTRUCTIONS BEFORE FILLING OUT!
<PAGE>
CUSIP No. 862111200 Schedule 13D Page 5 of 15 Pages
- --------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
COLE Partners LLC
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2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*
(a) [ X ]
(b) [ ]
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3 SEC USE ONLY
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4 SOURCE OF FUNDS*
OO
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5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO
ITEMS 2(d) OR 2(e) [ ]
- --------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
- --------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES 0
BENEFICIALLY --------------------------------------------------------------
OWNED BY 8 SHARED VOTING POWER
EACH 90,500
REPORTING --------------------------------------------------------------
PERSON 9 SOLE DISPOSITIVE POWER
WITH 0
--------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
90,500
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11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
90,500
- --------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES*
[ ]
- --------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
0.1%
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14 TYPE OF REPORTING PERSON*
HC
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*SEE INSTRUCTIONS BEFORE FILLING OUT!
<PAGE>
CUSIP No. 862111200 Schedule 13D Page 6 of 15 Pages
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1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
Iridian Partners Fund, L.P.
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2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*
(a) [ X ]
(b) [ ]
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3 SEC USE ONLY
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4 SOURCE OF FUNDS*
PF
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5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO
ITEMS 2(d) OR 2(e) [ ]
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6 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
- --------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES 0
BENEFICIALLY --------------------------------------------------------------
OWNED BY 8 SHARED VOTING POWER
EACH 63,600
REPORTING --------------------------------------------------------------
PERSON 9 SOLE DISPOSITIVE POWER
WITH 0
--------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
63,600
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11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
63,600
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12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES*
[ ]
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13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
0.1%
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14 TYPE OF REPORTING PERSON*
PN
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*SEE INSTRUCTIONS BEFORE FILLING OUT!
<PAGE>
CUSIP No. 862111200 Schedule 13D Page 7 of 15 Pages
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1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
Iridian Private Business Value Equity Fund, L.P.
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2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*
(a) [ X ]
(b) [ ]
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3 SEC USE ONLY
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4 SOURCE OF FUNDS*
PF
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5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO
ITEMS 2(d) OR 2(e) [ ]
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6 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
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NUMBER OF 7 SOLE VOTING POWER
SHARES 0
BENEFICIALLY --------------------------------------------------------------
OWNED BY 8 SHARED VOTING POWER
EACH 26,900
REPORTING --------------------------------------------------------------
PERSON 9 SOLE DISPOSITIVE POWER
WITH 0
--------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
26,900
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11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
26,900
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12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES*
[ ]
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13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
less than 0.1%
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14 TYPE OF REPORTING PERSON*
PN
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*SEE INSTRUCTIONS BEFORE FILLING OUT!
<PAGE>
CUSIP No. 862111200 Schedule 13D Page 8 of 15 Pages
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1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
David L. Cohen
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2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*
(a) [ X ]
(b) [ ]
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3 SEC USE ONLY
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4 SOURCE OF FUNDS*
OO
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5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO
ITEMS 2(d) OR 2(e) [ ]
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6 CITIZENSHIP OR PLACE OF ORGANIZATION
United States
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NUMBER OF 7 SOLE VOTING POWER
SHARES 0
BENEFICIALLY --------------------------------------------------------------
OWNED BY 8 SHARED VOTING POWER
EACH 7,391,890
REPORTING --------------------------------------------------------------
PERSON 9 SOLE DISPOSITIVE POWER
WITH 0
--------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
7,391,890
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11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
7,391,890
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12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES*
[ ]
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13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
7.4%
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14 TYPE OF REPORTING PERSON*
IN
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*SEE INSTRUCTIONS BEFORE FILLING OUT!
<PAGE>
CUSIP No. 862111200 Schedule 13D Page 9 of 15 Pages
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1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
Harold J. Levy
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2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*
(a) [ X ]
(b) [ ]
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3 SEC USE ONLY
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4 SOURCE OF FUNDS*
OO
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5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO
ITEMS 2(d) OR 2(e) [ ]
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6 CITIZENSHIP OR PLACE OF ORGANIZATION
United States
- --------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES 0
BENEFICIALLY --------------------------------------------------------------
OWNED BY 8 SHARED VOTING POWER
EACH 7,391,890
REPORTING --------------------------------------------------------------
PERSON 9 SOLE DISPOSITIVE POWER
WITH 0
--------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
7,391,890
- --------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
7,391,890
- --------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES*
[ ]
- --------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
7.4%
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14 TYPE OF REPORTING PERSON*
IN
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*SEE INSTRUCTIONS BEFORE FILLING OUT!
<PAGE>
CUSIP No. 862111200 Schedule 13D Page 10 of 15 Pages
Item 1. Security and Issuer
This Statement on Schedule 13D (this "Statement") relates to the common
stock, par value $.10 per share (the "Common Stock"), of Storage Technology
Corporation, a Delaware corporation (the "Issuer"). The Issuer's principal
executive offices are located at One StorageTek Drive, Louisville, CO
80028-4309.
Item 2. Identity and Background
This Statement is being filed by and on behalf of Iridian Asset Management
LLC ("Iridian"), LC Capital Management, LLC ("LC Capital"), CL Investors, Inc.
("CL Investors"), COLE Partners LLC ("COLE"), Iridian Partners Fund, L.P.
("Iridian Partners"), Iridian Private Business Value Equity Fund, L.P. ("Iridian
Private Business"), David L. Cohen and Harold J. Levy (collectively, the
"Reporting Persons").
Each of Iridian, LC Capital and COLE is a Delaware limited liability
company. CL Investors is a Delaware corporation. Each of Iridian Partners and
Iridian Private Business is a Delaware limited partnership.
Iridian is an investment adviser registered under Section 203 of the
Investment Advisers Act of 1940, and its principal business is managing a number
of accounts containing securities over which Iridian has voting and dispositive
power. Iridian is also the sole member of COLE. The principal business of LC
Capital is serving as the controlling member of Iridian. The principal business
of CL Investors is serving as the controlling member of LC Capital.
The principal business of COLE is serving as the general partner of each of
Iridian Partners and Iridian Private Business. The principal business of each of
Iridian Partners and Iridian Private Business is investing in securities.
Iridian serves as the investment adviser to Iridian Partners and Iridian Private
Business. COLE, as the general partner of Iridian Partners and Iridian Private
Business, and Iridian, as the sole member of COLE and investment adviser to
Iridian Partners and Iridian Private Business, share voting and dispositive
power over the investments of Iridian Partners and Iridian Private Business.
Each of Messrs. Cohen and Levy owns 50% of the common stock of CL Investors
and, as his principal occupation, serves as a director of CL Investors, a
manager and Principal of LC Capital and as a Principal and portfolio manager of
Iridian. Each of Messrs. Cohen and Levy also serves as an employee of Arnhold &
S. Bleichroeder Advisers, Inc. ("A&SB Advisers"), an investment adviser
registered under the Investment Advisers Act of 1940.
A&SB Advisers acts as the investment adviser to First Eagle Fund of
America, an open-end non-diversified mutual fund ("First Eagle"), which is a
separate series or portfolio of First Eagle Trust, an investment company
registered under the Investment Company Act of 1940. To the Reporting Persons'
knowledge, pursuant to the terms of the investment advisory agreement between
A&SB Advisers and First Eagle, A&SB Advisors has the authority, for and in the
name of First Eagle, to vote and to dispose of securities owned by First Eagle.
Pursuant to employment agreements with A&SB Advisers, Messrs. Cohen and Levy
perform A&SB's investment advisory duties and functions with respect to First
Eagle, including the exercise of voting and dispositive power over securities
held by First Eagle.
In addition to Messrs. Cohen and Levy, Jeffrey M. Elliott serves as a
director of CL Investors and as a manager of LC Capital. He also serves as
President, Treasurer and Secretary of CL Investors, as Executive Vice President
of LC Capital and as Executive Vice President and Chief Operating Officer of
Iridian, which constitutes his principal occupation.
During the last five years, neither any of the Reporting Persons nor Mr.
Elliott has (i) been convicted in a criminal proceeding or (ii) been a party to
a civil proceeding of a judicial or administrative body of competent
jurisdiction and as a result of such proceeding was or is subject to a judgment,
decree or final order enjoining future violations of, or prohibiting or
mandating activities subject to, federal or state securities laws or finding any
violation with respect to such laws. The business address of each of the
Reporting Persons and Mr. Elliott is 276 Post Road West, Westport, Connecticut
06880-4704. Messrs. Cohen, Levy and Elliott are citizens of the United States.
<PAGE>
CUSIP No. 862111200 Schedule 13D Page 11 of 15 Pages
Item 3. Source and Amount of Funds or Other Consideration
Accounts managed by Iridian (excluding Iridian Partners and Iridian Private
Business) purchased an aggregate of 6,669,290 shares of Common Stock for total
consideration (including brokerage commissions) of $160,826,293 derived from the
capital of the managed accounts. Accounts managed by Iridian (excluding Iridian
Partners and Iridian Private Business) also purchased options to acquire 127,400
shares of Common Stock at $15 per share that expire on September 18, 1999 for
total consideration (including brokerage commissions) of $577,122 derived from
the capital of the managed accounts.
Iridian Partners purchased options to acquire 63,600 shares of Common Stock
at $15 per share that expire on September 18, 1999 for total consideration
(including brokerage commissions) of $288,108 derived from the capital of
Iridian Partners.
Iridian Private Business purchased an aggregate of 26,900 shares of Common
Stock for a total consideration (including brokerage commissions) of $659,739
derived from the capital of Iridian Private Business.
First Eagle purchased an aggregate of 504,700 shares of Common Stock for
total consideration (including brokerage commissions) of $12,480,558 derived
from the capital of First Eagle.
Item 4. Purpose of Transaction
The Reporting Persons acquired securities of the Issuer for investment
purposes because they believed the shares of Common Stock to be undervalued by
the market.
The Reporting Persons have been and continue to be extremely disappointed
in the financial performance of the Issuer. On September 9, 1999, a
representative of the Reporting Persons met with the Chief Executive Officer of
the Issuer to express the Reporting Persons' concerns. On September 10, 1999,
Iridian sent a letter to the Issuer's Board of Directors expressing the
Reporting Persons' view that, during the three years since Iridian initially
acquired shares on behalf of its clients, management has failed to create
shareholder value while its competitors have prospered. Iridian urged the Board
to adopt a plan to seek a sale or strategic combination of the Issuer.
Representatives of Iridian met with the Issuer's Board of Directors on September
15, 1999 to reiterate in person the concerns previously raised.
The Reporting Persons may communicate further with the Issuer's Board of
Directors and management concerning the business and affairs of the Issuer. They
also may communicate with other shareholders and interested parties concerning
the Issuer.
The Reporting Persons may from time to time (i) acquire additional shares
of Common Stock or other securities (subject to availability at prices deemed
favorable) in the open market, in privately negotiated transactions or
otherwise, or (ii) dispose of shares of Common Stock or other securities at
prices deemed favorable in the open market, in privately negotiated transactions
or otherwise.
Except as set forth above, none of the Reporting Persons has any plans or
proposals which relate to or would result in any of the matters specified in
paragraphs (a) through (j) of Item 4 of Schedule 13D.
<PAGE>
CUSIP No. 862111200 Schedule 13D Page 12 of 15 Pages
Item 5. Interest in Securities of the Issuer
(a) As of the date of this Statement, the Reporting Persons beneficially
owned in the aggregate 7,391,890 shares of Common Stock, constituting 7.4% of
the outstanding shares of Common Stock (the percentage of shares of Common Stock
owned being based upon 100,179,257 shares of Common Stock outstanding at July
30, 1999, as set forth in the Issuer's Quarterly Report on Form 10-Q for the
quarter ended June 25, 1999). The Reporting Persons may be deemed to have direct
beneficial ownership of shares of Common Stock as follows:
Name Number of Shares Approximate Percentage of
Outstanding Shares
Iridian (see Note) 6,796,690 6.8%
First Eagle 504,700 0.5%
Iridian Partners 63,600 0.1%
Iridian Private Business 26,900 less than 0.1%
Note: The shares of Common Stock set forth above for Iridian do not include the
shares of Common Stock held by Iridian Partners and Iridian Private Business.
Iridian has direct beneficial ownership of the shares of Common Stock in
the accounts which it manages. In addition, Iridian is the investment adviser
for Iridian Partners and Iridian Private Business. In such capacity, Iridian has
the right to vote and direct the disposition of shares of Common Stock held by
such entities and, consequently, has beneficial ownership of such shares.
LC Capital, as the controlling member of Iridian, may be deemed to possess
beneficial ownership of the shares of Common Stock beneficially owned by
Iridian. CL Investors, as the controlling member of LC Capital, may be deemed to
possess beneficial ownership of the shares of Common Stock beneficially owned by
LC Capital. Messrs. Cohen and Levy, as controlling stockholders of CL Investors,
may be deemed to possess beneficial ownership of shares of Common Stock
beneficially owned by CL Investors. Messrs. Cohen and Levy may also be deemed to
possess beneficial ownership of the shares of Common Stock beneficially owned by
Iridian by virtue of their service as Principals of Iridian, to possess
beneficial ownership of the shares of Common Stock beneficially owned by LC
Capital by virtue of their service as Principals and managers of LC Capital, and
to possess beneficial ownership of the shares of Common Stock beneficially owned
by CL Investors by virtue of the fact that they constitute a majority of CL
Investors' Board of Directors. Messrs. Cohen and Levy disclaim beneficial
ownership of such shares for all other purposes.
COLE, as the sole general partner of Iridian Partners and Iridian Private
Business, may be deemed to own beneficially shares of Common Stock that Iridian
Partners and Iridian Private Business may be deemed to possess direct beneficial
ownership. Iridian, as the sole member of COLE, may be deemed to possess
beneficial ownership of the shares of Common Stock that are beneficially owned
by COLE.
Messrs. Cohen and Levy, by virtue of their ability to exercise voting and
dispositive power over the shares of Common Stock beneficially owned by First
Eagle pursuant to their employment agreements with A&SB Advisers described in
Item 2 of this Statement (which description is incorporated hereby by
reference), may be deemed to possess beneficial ownership of such shares.
Messrs. Cohen and Levy disclaim beneficial ownership of such shares for all
other purposes.
As used herein, "beneficial ownership" has the meaning set forth in Rule
13d-3 under the Securities Exchange Act of 1934, as amended.
(b) Iridian has the direct power to vote or direct the vote, and the direct
power to dispose or direct the disposition, of 6,796,690 shares of Common Stock.
LC Capital, CL Investors and Messrs. Cohen and Levy may be deemed to share with
Iridian the power to vote or direct the vote and to dispose or direct the
disposition of such shares.
In addition, Iridian has the direct power to vote or direct the vote, and
the direct power to dispose or direct the disposition, of the 90,500 shares of
Common Stock held in the aggregate by Iridian Partners and Iridian Private
Business. COLE (in addition to LC Capital, CL Investors and Messrs. Cohen and
Levy) may be deemed to share with Iridian the power to vote or direct the vote
and to dispose or direct the disposition of such shares.
Messrs. Cohen and Levy have the power to vote or direct the vote, and the
power to dispose or direct the disposition, of the 504,700 shares of Common
Stock held by First Eagle.
<PAGE>
CUSIP No. 862111200 Schedule 13D Page 13 of 15 Pages
(c) Transactions in the shares of Common Stock within the past sixty days are as
follows:
By Iridian:
Date Buy/Sell No. of Shares Price per Share
7/13/99 Sell 142,400 $25.1292
7/14/99 Sell 33,700 $25.0371
7/16/99 Buy 300 $26.6250
7/19/99 Sell 12,900 $24.1642
7/21/99 Sell 4,700 $23.4641
7/21/99 Sell 1,600 $23.3359
7/21/99 Sell 300 $23.3125
7/27/99 Sell 600 $22.2500
7/29/99 Buy 6,000 $19.4375
7/29/99 Sell 21,700 $20.1410
8/2/99 Sell 2,000 $19.4313
8/3/99 Buy 19,100 $19.2235
8/11/99 Buy 275,000 $20.1623
8/12/99 Sell 1,800 $19.6250
8/16/99 Buy 7,600 $20.8125
8/18/99 Buy 33,800 $20.0625
8/18/99 Buy 100 $20.0000
8/19/99 Buy 16,600 $20.0000
8/23/99 Sell 4,300 $20.0000
8/30/99 Buy 1,600 $21.0625
8/30/99 Buy 18,300 $21.2363
8/30/99 Sell 800 $21.1875
9/8/99 Buy 166,400 $21.7133
By First Eagle:
Date Buy/Sell No. of Shares Price per Share
7/13/99 Sell 7,600 $25.1292
7/29/99 Sell 1,800 $20.1410
9/8/99 Buy 13,600 $21.7133
Transactions in options of the Issuer within the past sixty days are as
follows:
By Iridian:
Date Buy/Sell No. of Units Option/Security Price per Unit
7/12/99 Sell 381 Sep 25 Calls $2.12502
All transactions were effected on the New York Stock Exchange, except the
transactions in options were effected on the Chicago Board Options Exchange.
(d) No other person is known to have the right to receive or the power to
direct the receipt of dividends from, or the proceeds from the sale of, the
shares of Common Stock, except that the dividends from, or proceeds from the
sale of, shares of Common Stock in each respective account managed by Iridian
or, in the case of First Eagle, managed by Messrs. Cohen and Levy) will be
delivered into each such respective account. No such individual account has an
interest in more than five percent of the class of outstanding shares of Common
Stock.
Item 6. Contracts, Arrangements, Understandings or Relationships with Respect
to Securities of the Issuer.
To the best of the knowledge of the Reporting Persons, there are no
contracts, arrangements, understandings or relationships (legal or otherwise)
among the Reporting Persons or between the Reporting Persons and any other
person with respect to any securities of the Company, including, but not limited
to, transfer or voting of any of the securities, finder's fees, joint ventures,
loan or option arrangements, puts or calls, guarantees of profits, division of
profits or loss, or the giving or withholding of proxies, except as follows: the
partnership agreement of Iridian Partners contains provisions pursuant to which
COLE, its general partner, will receive a certain percentage of realized and
unrealized profits, if any, derived from the partnership's investments. Iridian
also receives a fee from each of its managed accounts based upon the value of
assets under management and, in certain cases, a certain percentage of realized
and unrealized profits, if any, derived from the managed accounts' investments.
In addition, Messrs. Cohen and Levy receive compensation under their employment
agreements with A&SB Advisors based upon the value of the assets of First Eagle
under management by A&SB Advisors.
Item 7. Material to be Filed as Exhibits
Exhibit 1 - Joint Filing Agreement
<PAGE>
CUSIP No. 862111200 Schedule 13D Page 14 of 15 Pages
SIGNATURE.
After reasonable inquiry and to the best of its or his knowledge and
belief, we certify that the information set forth in this statement is true,
complete and correct.
Date: September 17, 1999
IRIDIAN ASSET MANAGEMENT LLC
By: /s/ Jeffrey M. Elliott
----------------------------------
Jeffrey M. Elliott, Executive Vice President
LC CAPITAL MANAGEMENT, LLC
By: /s/ Jeffrey M. Elliott
----------------------------------
Jeffrey M. Elliott, Executive Vice President
CL INVESTORS, INC.
By: /s/ Jeffrey M. Elliott
----------------------------------
Jeffrey M. Elliott, President
COLE PARTNERS LLC
By: /s/ Jeffrey M. Elliott
----------------------------------
Jeffrey M. Elliott, Executive Vice President
IRIDIAN PARTNERS FUND, L.P.
By: COLE PARTNERS LLC
By: /s/ Jeffrey M. Elliott
----------------------------------
Jeffrey M. Elliott, Executive Vice President
IRIDIAN PRIVATE BUSINESS VALUE EQUITY FUND, L.P.
By: COLE PARTNERS LLC
By: /s/ Jeffrey M. Elliott
----------------------------------
Jeffrey M. Elliott, Executive Vice President
By: /s/ David L. Cohen
----------------------------------
David L. Cohen, individually
By: /s/ Harold J. Levy
----------------------------------
Harold J. Levy, individually
Page 15 of 15 Pages
EXHIBIT 1
JOINT FILING AGREEMENT AMONG IRIDIAN ASSET MANAGEMENT LLC, LC CAPITAL
MANAGEMENT, LLC, CL INVESTORS, INC., COLE PARTNERS LLC, IRIDIAN PARTNERS FUND,
L.P., IRIDIAN PRIVATE BUSINESS VALUE EQUITY FUND, L.P., DAVID L. COHEN AND
HAROLD J. LEVY
AGREEMENT between Iridian Asset Management LLC ("Iridian"), LC Capital
Management, LLC ("LC Capital"), CL Investors, Inc. ("CL Investors"), COLE
Partners LLC ("COLE"), Iridian Partners Fund, L.P. ("Iridian Partners"), Iridian
Private Business Value Equity Fund, L.P. ("Iridian Private Business"), David L.
Cohen ("Cohen") and Harold J. Levy ("Levy").
WHEREAS, in accordance with Rule 13d-1(k) under the Securities Exchange Act
of 1934 (the "Act"), only one statement containing the information required by
Schedule 13D and any amendments thereto need be filed whenever two or more
persons are required to file such a statement or any amendments thereto with
respect to the same securities, provided that said persons agree in writing that
such statement or any amendment thereto is filed on behalf of them.
NOW, THEREFORE, in consideration of the premises and mutual agreements
contained herein, the parties hereto agree as follows:
Iridian, LC Capital, CL Investors, COLE, Iridian Partners, Iridian Private
Business, Cohen and Levy, do hereby agree, in accordance with Rule 13d-1(f)
under the Act, to file a Schedule 13D and any amendments thereto, relating to
their ownership of the common stock of Storage Technology Corporation, and do
hereby further agree that said Schedule 13D shall be filed on behalf of each of
them.
Date: September 17, 1999
IRIDIAN ASSET MANAGEMENT LLC
By: /s/ Jeffrey M. Elliott
----------------------------------
Jeffrey M. Elliott, Executive Vice President
LC CAPITAL MANAGEMENT, LLC
By: /s/ Jeffrey M. Elliott
----------------------------------
Jeffrey M. Elliott, Executive Vice President
CL INVESTORS, INC.
By: /s/ Jeffrey M. Elliott
----------------------------------
Jeffrey M. Elliott, President
COLE PARTNERS LLC
By: /s/ Jeffrey M. Elliott
----------------------------------
Jeffrey M. Elliott, Executive Vice President
IRIDIAN PARTNERS FUND, L.P.
By: COLE PARTNERS LLC
By: /s/ Jeffrey M. Elliott
----------------------------------
Jeffrey M. Elliott, Executive Vice President
IRIDIAN PRIVATE BUSINESS VALUE EQUITY FUND, L.P.
By: COLE PARTNERS LLC
By: /s/ Jeffrey M. Elliott
----------------------------------
Jeffrey M. Elliott, Executive Vice President
/s/ David L. Cohen
----------------------------------
David L. Cohen, individually
/s/ Harold J. Levy
----------------------------------
Harold J. Levy, individually
