Computer Automation Sells Sales Division

Computer Automation Inc. said Thursday it has reached a final agreement to sell its computer sales division to Santa Ana businessman W. Norris Agee for $4 million.

Agee, the chairman of Trendata Corp., a privately-held Costa Mesa manufacturer of computer memory devices, could not be reached for comment on his plans for the operation. However, in August when the sale was first announced, Robert Parker, president of Trendata, said there was no plan to merge the 212-employee Computer Automation division into Trendata. Parker said attempts would be made to keep all employees. Sale of the Computer Automation division, which calls for payments to be spread over the next six years, is expected to become final by the end of October.

The sale comes just months after ailing Computer Automation, which has lost more than $20 million in the last three years, retained an investment banker to explore its remaining business opportunities. Within weeks of seeking advice from PaineWebber Inc., the company received a $3 million investment from a Kansas businessman, Larry Doskocil, who also purchased a 23.5% stake in the company to become its single largest shareholder.