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Morrow Designs filed for Chapter 11 protection.

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The maker of the Pivot II line of portable personal computers said it will retain 12 of its 35 employees while it reorganizes and looks for a buyer. The San Leandro, Calif., company, founded by computer industry pioneer George Morrow, filed under Chapter 11 of the U.S. Bankruptcy Code last Friday. It has licensed its technology to Zenith Data Systems, which recently won a contract to supply 15,000 portables to the Internal Revenue Service.

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