For the June quarter, the company expects the addressable market to be flat with the March quarter, with revenue of $1.9 billion to $2.2 billion, a bit ahead of Street expectations at $1.86 billion.
Seagate also said that to conserve cash it will no longer pay a quarterly dividend; the move will save $60 million a year.
The company also announced a private placement of $430 million of senior secured second-priority notes due 2014; proceeds will be used for general corporate purposes, including the pay down or all or some of its $300 million of floating rate senior notes due October 1 and other indebtedness.
STX today is down 68 cents, or 10.2%, to $5.97.
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