TECHNOLOGY - March 16, 1994

Software Firms Agree to Merge: Adobe Systems Inc. and Aldus Corp., the country’s two leading desktop publishing software companies, announced an agreement to merge in a stock swap valued at about $525 million. The deal is subject to numerous conditions, including approval by regulators and shareholders. The two companies dominate the market for personal computer programs that let people create documents, such as newsletters. John Warnock, chairman and chief executive of Adobe, would lead the merged company, which would be based in Adobe’s hometown of Mountain View, Calif. Paul Brainerd, president and founder of Seattle-based Aldus, would become a member of the new company’s board. Aldus climbed 75 cents to $26.25 on Nasdaq, while Adobe, also on Nasdaq, fell $1.25 to $32.50. The deal was announced after the market closed.