Apple Computer is dropping about 600 dealers.

The personal computer firm is dropping about one-fourth of its retail outlets as part of an effort to improve its distribution channels. Apple's vice president for sales, Thomas Marano, noted that the 600 dealers who will not have their distribution contracts renewed accounted for just 6% to 8% of Apple's total sales. "We are focusing on the 2,000 outlets that remain, which account for some 90% of our sales," he said.

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