StorageTek Shares Drop; 600 Jobs to Be Cut

Shares of Storage Technology Corp., the nation’s leading computer tape storage drive manufacturer, plunged more than 17% after its chief executive resigned and the company said it will eliminate 600 jobs. Officials with StorageTek, which has been looking for a buyer, said David Weiss, president, chief executive and chairman, will leave as soon as a successor can be found. In addition, Victor Perez will leave his position as chief operating officer at the end of the quarter. The job cuts are part of an ongoing reorganization, announced in October, that is aimed at turning around the Louisville, Colo.-based company financially. They fall on the heels of another 600 job cuts announced last year. Storage Technology shares fell $2.75 to $12.94 on the NYSE.