TECHNOLOGY - Dec. 1, 1995

Packard Bell Calls Talk of Financial Woes ‘Groundless’: The Sacramento-based, privately held computer maker, responding to recent indications that it is having trouble paying its bills, said it is not experiencing financial problems and that demand for all models of its personal computers is strong. The statement came several days after Intel Corp.’s disclosure that one of its biggest customers had been slow in paying a $470-million bill and that part of that amount had been converted to a loan. Though Intel refused to disclose the identity of the customer, analysts and other sources unanimously agree that it is Packard Bell, and the company has not denied it. Packard Bell Chief Executive Beny Alagem did not address the question of the Intel debt, but he insisted that all is well at his company and that total sales will grow 45% this year.