Document:

<PAGE>
                                                                EXHIBIT 10.47.7

                      SEVENTH AMENDMENT TO CREDIT AGREEMENT

                  THIS SEVENTH AMENDMENT TO CREDIT AGREEMENT ("Amendment") is
entered into as of June 28, 2002, by and among WESTERN DIGITAL TECHNOLOGIES,
INC., a Delaware corporation formerly known as Western Digital Corporation
("Borrower"), the other credit parties party hereto (each individually a "Credit
Party" and collectively, the "Credit Parties"), the lenders signatory hereto
(each individually a "Lender" and collectively the "Lenders"), GENERAL ELECTRIC
CAPITAL CORPORATION, a Delaware corporation, as administrative agent for Lenders
(in such capacity, "Agent"), and BANK OF AMERICA, N.A., as documentation agent
for Lenders ("Documentation Agent"; Agent and Documentation Agent are
collectively referred to as "Co-Agents" and each, a "Co-Agent").

                                    RECITALS

         A. Borrower, the other Credit Parties party thereto, Lenders, and
Co-Agents have entered into the Credit Agreement dated as of September 20, 2000,
as amended by the First Amendment to Credit Agreement dated as of March 8, 2001,
the Second Amendment to Credit Agreement dated as of March 23, 2001, the Third
Amendment to Credit Agreement dated as of April 7, 2001, the Fourth Amendment to
Credit Agreement dated as of September 26, 2001, the Fifth Amendment to the
Credit Agreement dated as of December 21, 2001, and the Sixth Amendment to the
Credit Agreement dated as of January 11, 2002 (collectively, "Credit
Agreement"), pursuant to which Co-Agents and Lenders are providing financial
accommodations to or for the benefit of Borrower upon the terms and conditions
contained therein. Unless otherwise defined herein, capitalized terms or matters
of construction defined or established in Annex A to the Credit Agreement shall
be applied herein as defined or established therein.

         B. Borrower has requested that Co-Agents and Requisite Lenders amend
the Credit Agreement, and Co-Agents and Lenders are willing to do so subject to
the terms and conditions of this Amendment.

                                    AGREEMENT

                  NOW, THEREFORE, in consideration of the continued performance
by Borrower and each other Credit Party of their respective promises and
obligations under the Credit Agreement and the other Loan Documents, and for
other good and valuable consideration, the receipt and sufficiency of which are
hereby acknowledged, Borrower, the other Credit Parties signatory hereto,
Lenders, and Co-Agents hereby agree as follows:

                  1. Ratification and Incorporation of Credit Agreement. Except
as expressly modified under this Amendment, (a) each Credit Party hereby
acknowledges, confirms, and ratifies all of the terms and conditions set forth
in, and all of its obligations under, the Credit Agreement, and (b) all of the
terms and conditions set forth in the Credit Agreement are incorporated herein
by this reference as if set forth in full herein.

                  2. Amendment to Credit Agreement.

                                       1
<PAGE>
                           (a) Section 6.1(viii)(B) of the Credit Agreement is
hereby amended by deleting the reference to "and under the definition of
"Permitted Excluded Subsidiary Transactions" set forth in Annex A" therein.

                           (b) Sections 6.2(c) and 6.3(a)(vi) of the Credit
Agreement are hereby amended by deleting the reference to "Permitted Excluded
Subsidiary Transactions and" therein.

                           (c) Section 6.3(b) of the Credit Agreement is hereby
amended by (i) deleting the "and" immediately preceding clause (iv), (ii)
replacing the period at the end thereof with "; and" and (iii) adding the
following new clause (v) at the end thereof:

                           (v) the repayment of Subordinated Debt to the extent
                           permitted in Section 6.14.

                           (d) Section 6.5(b)(iii) of the Credit Agreement is
hereby amended by adding "repurchase or" immediately preceding the reference
therein to "refinance".

                           (e) Section 6.14 of the Credit Agreement is hereby
amended by (i) deleting the "and" immediately preceding clause (f), (ii)
replacing the period at the end thereof with "; and" and (iii) adding the
following new clause (g) at the end thereof:

                           (g) the redemption, purchase, retirement, defeasance
                           or similar payments made to holders of Borrower's
                           Subordinated Debt so long as such payments do not
                           exceed $15,000,000 in the aggregate during any Fiscal
                           Quarter.

                           (f) The following definitions are hereby added to
Annex A to the Credit Agreement in appropriate alphabetical order:

                           "Designated Eligible Foreign Account" shall mean an
                           Eligible Foreign Account that is an obligation of any
                           of the Account Debtors listed on Annex K.

                           "Seventh Amendment" shall mean the Seventh Amendment
                           to Credit Agreement dated as of June 18, 2002.

                           (g) Annex A to the Credit Agreement is hereby amended
by deleting the definitions of the following terms:

                                    (i) "Combined Expenditures"; and

                                    (ii) "Permitted Excluded Subsidiary
                                         Transactions".

                           (h) Clause (b) of the definition of the term
"Borrowing Base" in Annex A to the Credit Agreement is hereby deleted in its
entirety and the following is substituted in lieu therefor:

                                    (b) the least of (i) $50,000,000, (ii) 25%
                  of the value of all Collateral included in clauses (a), (b)
                  and (c) of this definition of "Borrowing Base," and (iii) (A)
                  85% of (I) Borrower's Designated Eligible Foreign Accounts,

                                       2
<PAGE>
                  in each case up to the respective Eligibility Cap listed on
                  Annex K for each foreign Account Debtor of Borrower set forth
                  on Annex K, and (II) Borrower's Eligible Foreign Accounts
                  (other than the Designated Eligible Foreign Accounts), subject
                  to an acceptable credit review by Co-Agents of the foreign
                  Account Debtors of Borrower, minus (B) the Dilution Reserve
                  with respect to such Eligible Foreign Accounts; plus

                                    (i) Paragraph (a) of Annex G to the Credit
Agreement is hereby deleted in its entirety and the following is substituted in
lieu therefor:

                                             (a) Maximum Capital Expenditures.
                                    Borrower and its subsidiaries (other than
                                    the Excluded Subsidiaries) on a consolidated
                                    basis shall not make aggregate Capital
                                    Expenditures, at the end of each Fiscal
                                    Quarter set forth below for the 12-month
                                    period then ended, that exceed the
                                    respective amounts set forth opposite such
                                    periods:

<TABLE>
<CAPTION>
                          Period Ending On                Maximum Capital Expenditures
                          ----------------                ----------------------------
<S>                                                       <C>
                          June 28, 2002                   $65,000,000
                          September 27, 2002              $75,000,000
                          December 27, 2002               $75,000,000
                          March 28, 2003                  $80,000,000
                          June 27, 2003                   $80,000,000
</TABLE>

                                    provided; that, beginning with the Fiscal
                                    Year ending June 28, 2002, and for each
                                    Fiscal Year thereafter, to the extent that
                                    the maximum capital expenditure amount
                                    identified above (the "Maximum Capital
                                    Expenditure") for any such Fiscal Year
                                    (i.e., Year 1) exceeds the amount of Capital
                                    Expenditures actually made by Borrower and
                                    such Subsidiaries during such Fiscal Year
                                    (such excess being the "Excess Amount"),
                                    then the amount of permitted Capital
                                    Expenditures for each period above that ends
                                    during the immediately succeeding Fiscal
                                    Year (i.e., Year 2) will be increased by the
                                    positive amount (the "Carry Over Amount")
                                    equal to (i) the lesser of (A) the Excess
                                    Amount and (B) 25% of the amount of the
                                    Maximum Capital Expenditure for such Fiscal
                                    Year (i.e., Year 1), minus (ii) that portion
                                    of the Excess Amount, if any, expended
                                    during a previous period during such
                                    succeeding Fiscal Year. For purposes of
                                    measuring compliance herewith, the Carry
                                    Over Amount shall be deemed to be the last
                                    amount spent on Capital Expenditures in any
                                    Fiscal Quarter.

                                    (j) Paragraph (c) of Annex G to the Credit
Agreement is hereby deleted in its entirety and the following is substituted in
lieu therefor:

                                             (c) Minimum Tangible Net Worth.
                                    Borrower and its subsidiaries (other than
                                    the Excluded Subsidiaries) on a consolidated
                                    basis shall maintain Tangible Net Worth, at
                                    the end of each Fiscal Quarter set forth
                                    below, equal to or greater than the
                                    respective amounts set forth opposite such
                                    periods:

                                       3
<PAGE>
<TABLE>
<CAPTION>
                          Period Ending On                 Tangible Net Worth
                          ----------------                 ------------------
<S>                                                        <C>
                          June 28, 2002                    $81,600,000
                          September 27, 2002               $89,000,000
                          December 27, 2002                $100,100,000
                          March 28, 2003                   $109,100,000
                          June 27, 2003                    $117,800,000
</TABLE>

                                    (k) Paragraph (d) of Annex G to the Credit
Agreement is hereby deleted in its entirety and the following is substituted in
lieu therefor:

                                             (d) Borrower and its Subsidiaries
                                    (other than the Excluded Subsidiaries) on a
                                    consolidated basis shall not make New
                                    Venture Investments (i) in an aggregate
                                    amount that exceeds $5,000,000 during the
                                    Fiscal Quarter ending on June 28, 2002, or
                                    (ii) in any amount on or after June 29,
                                    2002.

                                    (l) GE Capital's wire transfer information
in Annex H to the Credit is hereby amended by deleting the reference to "Bankers
Trust" as the Bank Name therein and replacing it with "Deutsche Bank Trust
Company Americas" in lieu therefor.

                                    (m) Annex K to the Credit Agreement is
hereby added to the Credit Agreement, a copy of which is attached hereto as
APPENDIX A.

                                    (n) Index of Appendices to the Credit
Agreement is hereby deleted in its entirety and the revised version of the Index
of Appendices attached hereto as APPENDIX B is substituted in lieu thereof.

                  3. Waivers under Credit Agreement.

                           (a) Pursuant to Section 6.1(a) of the Credit
Agreement, Credit Parties are prohibited from forming or acquiring any
Subsidiary except as otherwise provided therein. Co-Agents and Requisite Lenders
have been informed that Borrower has formed Western Digital Korea, Ltd., a
corporation organized under the laws of the Republic of Korea ("WD Korea"),
which is a wholly-owned Subsidiary of Borrower. At the request of Borrower,
Co-Agents and Requisite Lenders hereby waive any Default or Event of Default
that has occurred as a result of the formation of WD Korea; provided, that (i)
WD Korea shall remain a wholly-owned Subsidiary of Borrower, (ii) the aggregate
amount of capital paid or payable to WD Korea by Borrower or any other Credit
Party as of any date shall not exceed the amount of $5,000,000, (iii) the fair
market value of the assets of WD Korea shall not be in excess of $10,000,000,
and (iv) WD Korea shall be an Excluded Subsidiary for purposes of the Credit
Agreement and the other Loan Documents. If Borrower, any other Credit Party, or
WD Korea fails to comply with either clauses (i), (ii) or (iii) of the preceding
sentence, then such failure shall constitute an Event of Default under the Loan
Documents.

                           (b) Pursuant to Section 6.14 of the Credit Agreement,
Credit Parties are prohibited from making any Restricted Payments except as
otherwise provided therein. Co-Agents and Requisite Lenders have been informed
that Borrower has made Restricted Payments prior to the date hereof to holders
of Borrower's Subordinated Debt in connection with the

                                       4
<PAGE>
redemption, purchase, retirement or defeasance of Subordinated Debt in the
aggregate amount of $13,437,532.00. At the request of Borrower, Co-Agents and
Requisite Lenders hereby waive any Default or Event of Default that has occurred
as of the date hereof as a result of payments made by Borrower to holders of
Borrower's Subordinated Debt in the aggregate amount of $13,437,532.00, in
connection with the redemption, purchase, retirement or defeasance of the
Subordinated Notes described in that certain list of Subordinated Notes
previously provided by Borrower to Agent and Requisite Lenders.

                  4. Conditions to Effectiveness. The effectiveness of this
Amendment is subject to satisfaction of each of the following conditions:

                           (a) receipt by Co-Agents of this Amendment duly
executed by Borrower, each of the other Credit Parties, Co-Agents and Requisite
Lenders;

                           (b) payment of a $50,000 amendment fee by Borrower to
Agent, for the ratable benefit of Lenders; and

                           (c) the absence of any Defaults or Events of Default
as of the date hereof.

                  5. Entire Agreement. This Amendment, together with the Credit
Agreement, the other Loan Documents and the letter agreement of even date
herewith among Borrower, each of the other Credit Parties, Co-Agents and
Requisite Lenders, is the entire agreement between the parties hereto with
respect to the subject matter hereof. This Amendment supersedes all prior and
contemporaneous oral and written agreements and discussions with respect to the
subject matter hereof.

                  6. Representations and Warranties. Borrower and each other
Credit Party hereby represents and warrants that the representations and
warranties contained in the Credit Agreement were true and correct in all
material respects when made and, except to the extent that (a) a particular
representation or warranty by its terms expressly applies only to an earlier
date or (b) Borrower or any other Credit Party, as applicable, has previously
advised Co-Agents in writing as contemplated under the Credit Agreement, are
true and correct in all material respects as of the date hereof.

                  7. Reaffirmation by Guarantors. Each Credit Party that is also
a Guarantor, by its execution of this Amendment, consents to the terms hereof
and ratifies and reaffirms all of the provisions of the Guaranties.

                  8. Miscellaneous.

                           (a) Counterparts. This Amendment may be executed in
identical counterpart copies, each of which shall be an original, but all of
which shall constitute one and the same agreement. Delivery of an executed
counterpart of a signature page to this Amendment by facsimile transmission
shall be effective as delivery of a manually executed counterpart thereof.

                           (b) Headings. Section headings used herein are for
convenience of reference only, are not part of this Amendment, and are not to be
taken into consideration in interpreting this Amendment.

                                       5
<PAGE>
                           (c) Recitals. The recitals set forth at the beginning
of this Amendment are true and correct, and such recitals are incorporated into
and are a part of this Amendment.

                           (d) Effect. Upon the effectiveness of this Amendment,
from and after the date hereof, each reference in the Credit Agreement to "this
Agreement," "hereunder," "hereof," or words of like import shall mean and be a
reference to the Credit Agreement as amended hereby and each reference in the
other Loan Documents to the Credit Agreement, "thereunder," "thereof," or words
of like import shall mean and be a reference to the Credit Agreement as amended
hereby.

                           (e) No Novation. Except as expressly provided in
Sections 2 and 3 of this Amendment, the execution, delivery, and effectiveness
of this Amendment shall not (i) limit, impair, constitute a waiver of, or
otherwise affect any right, power, or remedy of any Co-Agent or any Lender under
the Credit Agreement or any other Loan Document, (ii) constitute a waiver of any
provision in the Credit Agreement or in any of the other Loan Documents, or
(iii) alter, modify, amend, or in any way affect any of the terms, conditions,
obligations, covenants, or agreements contained in the Credit Agreement or any
other Loan Document, all of which are ratified and affirmed in all respects and
shall continue in full force and effect.

                           (f) Conflict of Terms. In the event of any
inconsistency between the provisions of this Amendment and any provision of the
Credit Agreement, the terms and provisions of this Amendment shall govern and
control.

                  [Remainder of Page Intentionally Left Blank]

                                       6
<PAGE>

                  IN WITNESS WHEREOF, this Seventh Amendment to Credit Agreement
has been duly executed as of the date first written above.

                                       GENERAL ELECTRIC CAPITAL CORPORATION,
                                       as Administrative Agent, a Co-Agent and
                                       a Lender

                                       By:  /s/ Scott B. Kaplan
                                          --------------------------------------
                                       Name:    Scott B. Kaplan
                                            ------------------------------------
                                                Duly Authorized Signatory

                                       BANK OF AMERICA, N.A.,
                                       as Documentation Agent, a Co-Agent and
                                       a Lender

                                       By:  /s/ David Knoblauch
                                          --------------------------------------
                                       Name:    David Knoblauch
                                            ------------------------------------
                                       Title:   SVP
                                             -----------------------------------

                                       THE CIT GROUP/BUSINESS CREDIT, INC.,
                                       as a Lender

                                       By:  /s/ Dale George
                                          --------------------------------------
                                       Name:    Dale George
                                            ------------------------------------
                                       Title:   Vice President
                                             -----------------------------------

                                       WESTERN DIGITAL TECHNOLOGIES, INC.,
                                       a Delaware corporation formerly known as
                                       Western Digital Corporation

                                       By:  /s/ Steven M. Slavin
                                          --------------------------------------
                                       Name:    Steven M. Slavin
                                            ------------------------------------
                                       Title: Vice President, Taxes & Treasurer
                                            ------------------------------------

                    [Signatures Continued on Following Page]

                                       7
<PAGE>
                                       WESTERN DIGITAL (U.K.), LTD.,
                                       a corporation organized under the laws
                                       of the United Kingdom

                                       By: /s/ Michael A. Cornelius
                                          --------------------------------------
                                       Name:   Michael A. Cornelius
                                            ------------------------------------
                                       Title:  Assistant Secretary
                                             -----------------------------------

                                       WESTERN DIGITAL (I.S.) LIMITED,
                                       a corporation organized under the laws
                                       of Ireland

                                       By:  /s/ Michael A. Cornelius
                                          --------------------------------------
                                       Name:    Michael A. Cornelius
                                            ------------------------------------
                                       Title:   Director
                                             -----------------------------------

                                       8
<PAGE>
                                   APPENDIX A

                                     Annex K

                               to Credit Agreement

    List of Designated Eligible Foreign Account Debtors with Eligibility Caps

<TABLE>
<CAPTION>
                                                             Eligibility Cap for all Accounts
Designated Eligible Foreign Account Debtor                   Owing by Foreign Account Debtor
------------------------------------------                   -------------------------------
<S>                                                          <C>
Achieva Technology PTE Ltd.                                  $8,000,000
Al Yousuf LLC                                                $2,000,000
Digiland International Ltd.                                  $2,500,000
Elko Grupa AS                                                $3,500,000
Fujitsu Coworco Ltd.                                         $2,500,000
Genuine C & C (H.K.) Limited                                 $8,000,000
Giga-Byte Technology Co., Ltd.                               $2,000,000
Jamjoon Advanced Technology                                  $1,000,000
Karma Distribution (S) PTE Ltd.                              $7,500,000
North Africa Import Export & Contracting                     $2,000,000
ProCA spol. s r.o.                                           $1,000,000
</TABLE>

                                       9
<PAGE>
                                   APPENDIX B

                               INDEX OF APPENDICES

<TABLE>
<S>                                         <C>      <C>
Annex A (Recitals)                          -        Definitions
Annex B (Section 1.2)                       -        Letters of Credit
Annex C (Section 1.8)                       -        Cash Management System
Annex D (Section 2.1(a))                    -        Schedule of Documents
Annex E (Section 4.1(a))                    -        Financial Statements and Projections -- Reporting
Annex F (Section 4.1(b))                    -        Collateral Reports
Annex G (Section 6.10)                      -        Financial Covenants
Annex H (Section 9.9(a))                    -        Lenders' Wire Transfer Information
Annex I (Section 11.10)                     -        Notice Addresses
Annex J (Annex A)                           -        Commitments as of Closing Date
Annex K (Annex A)                           -        Designated Eligible Foreign Accounts

Exhibit 1.1(a)(i)                           -        Form of Notice of Revolving Credit Advance
Exhibit 1.1(a)(ii)                          -        Form of Revolving Note
Exhibit 1.1(b)(ii)                          -        Form of Swing Line Note
Exhibit 1.5(e)                              -        Form of Notice of Conversion/Continuation
Exhibit 4.1(b)                              -        Form of Borrowing Base Certificate
Exhibit 9.1(a)                              -        Form of Assignment Agreement

Schedule (1.1)                              -        Agent Representative
Disclosure Schedule (3.2)                   -        Executive Offices; Collateral Locations; FEIN
Disclosure Schedule (3.4(a))                -        Financial Statements
Disclosure Schedule (3.4(b))                -        Projections
Disclosure Schedule (3.6)                   -        Real Estate and Leases
Disclosure Schedule (3.7)                   -        Labor Matters
Disclosure Schedule (3.8)                   -        Ventures and Affiliates; Stock
Disclosure Schedule (3.11)                  -        Tax Matters
Disclosure Schedule (3.12)                  -        ERISA Plans
Disclosure Schedule (3.13)                  -        Litigation
Disclosure Schedule (3.15)                  -        Intellectual Property
Disclosure Schedule (3.17)                  -        Hazardous Materials
Disclosure Schedule (3.18)                  -        Insurance
Disclosure Schedule (3.19)                  -        Deposit and Disbursement Accounts
Disclosure Schedule (3.20)                  -        Government Contracts
Disclosure Schedule (3.22)                  -        Material Agreements
Disclosure Schedule (5.1)                   -        Trade Names
Disclosure Schedule (6.3)                   -        Indebtedness
Disclosure Schedule (6.5)                   -        Permitted Reorganization
Disclosure Schedule (6.6)                   -        Guaranteed Indebtedness
Disclosure Schedule (6.7)                   -        Existing Liens
</TABLE>

                                       10<PAGE>

                                                                   EXHIBIT 10.55

                          [WESTERN DIGITAL LETTERHEAD]

March 31, 2002

Mr Michael A. Cornelius
25196 Black Horse Lane
Laguna Hills CA  92653

Dear Michael:

This letter, when signed by you, constitutes the agreement (the "Agreement")
relative to your retirement from Western Digital Corporation ("WDC") and Western
Digital Technologies, Inc. ("WDT" and, collectively with WDC, the "Company"). In
consideration for the covenants and releases contained herein, you and the
Company agree as follows:

1.     TRANSITION PERIOD. You voluntarily retired from your position as Vice
       President, Law and Administration, and Secretary of WDC and WDT, and from
       all of your other positions with the Company's other subsidiaries,
       effective Thursday, March 28, 2002. Effective such date, you will
       continue to be an employee of WDC, subject to the limitations below, and
       function as Vice President, Intellectual Property, pay grade 76, until
       the earlier of March 31, 2003, earlier termination by the Company as
       provided in this Section 1, or your death (the "Transition Period").
       During the Transition Period, you will report to the Company's Chairman
       and Chief Executive Officer and will coordinate with the Vice President,
       General Counsel and Secretary, and shall perform such transitional duties
       as assigned from time to time, including, but not limited to, managing
       the Company's Intellectual Property Department (IPD) within the Legal
       department until the Company reassigns these responsibilities to another
       individual. You will also be responsible for project specific assignments
       as directed from time to time. It is intended that (i) from March 28,
       2002 through June 30, 2002, you will work as a full-time employee with a
       forty (40) hour work week; (ii) from July 1, 2002, through September 30,
       2002, you will work as a part-time employee with a thirty (30) hour work
       week; (iii) from October 1, 2002, through December 31, 2002, you will
       work as a part-time employee with a twenty (20) hour work week; and (iv)
       from January 1, 2003, through March 31, 2003, you will work as a
       part-time employee with a ten (10) hour work week. If you terminate the
       Transition Period and your employment with the Company before March 31,
       2003, you are required to give at least two weeks' written notice. In
       such an event, your Transition Period, and any entitlement to
       compensation or vesting under this Agreement, shall cease on the
       fourteenth day following

<PAGE>
                                                        Mr. Michael A. Cornelius
                                                                  March 31, 2002
                                                                          Page 2

       the date on which notice is given. The Company retains the right to
       terminate the Transition Period at any time. Should this occur, the
       Transition Period end-date will be determined at the time of such an
       event.

2.     STOCK OPTIONS AND RESTRICTED SHARES.

       (a)    During the Transition Period, any stock options previously granted
              to you under the Company's Employee Stock Option Plan and the
              Company's subsidiary's Stock Incentive Plans (collectively, the
              "Options") will continue to vest in accordance with their terms.
              At the end of Transition Period, all of your Options will become
              fully vested, and you will have up to three (3) years following
              the later of March 31, 2003 or the end of the Transition Period to
              exercise any or all such Options or, in the event of your death,
              such longer period as may be provided in the Options. A stock
              option summary and detailed schedule setting forth these Options,
              their grant dates, exercise prices, and vesting schedules is being
              delivered to you separately and is incorporated herein by
              reference.

       (b)    Upon your full performance through the Transition Period all
              remaining unvested restricted stock (the "Restricted Shares")
              awarded you in December 2000 will vest. Should the Company
              terminate the Transition Period any time prior to March 31, 2003,
              all unvested restricted stock awarded you in December 2000 will
              vest.

       (c)    Notwithstanding anything to the contrary in this Agreement, if you
              breach any of your covenants set forth in paragraphs 9, 10, 11, or
              13 hereof, (i) any unexercised Options shall be deemed immediately
              canceled and shall no longer be exercisable, (ii) the Restricted
              Shares shall be deemed immediately canceled, and (iii) WDC and/or
              WDT shall have the right to recover any profits realized by you as
              a result of the exercise of Options or the sale of Restricted
              Shares or of shares received pursuant to the exercise of Options
              during the six month period prior to the date of any such breach,
              as determined by the Board of Directors.

3.     COMPENSATION.

       (a)    During the Transition Period, you will be paid at the following
              base salary wage rate: (i) $22,917 per month through June 30,
              2002; (ii) $17,188 per month from June 1, 2002, through September
              30, 2002; (iii) $11,459 per month from October 1, 2002, through
              December 31, 2002; and (iv) $5,729 per month from January 1, 2003,
              through March 31, 2003. Should the Company terminate the
              Transition Period any time prior to March 31, 2003, you will be
              given a one-time lump sum payment as determined by calculating the
              time remaining from the new Transition Period end-date to March
              31, 2003, per the above base salary wage rate schedule.

       (b)    During the Transition Period, you will be a participant in the
              Company's Change of Control (COC) Severance Plan ("Severance
              Plan") and are eligible to participate at

<PAGE>
                                                        Mr. Michael A. Cornelius
                                                                  March 31, 2002
                                                                          Page 3

              the Executive Officer 16(b) level at the Company, even though you
              will not be a 16(b) Executive Officer. You will participate on a
              prorated basis as defined by your then current part-time
              employment status.

4.     BENEFITS. Your eligibility and level of participation for benefits during
       the Transition Period will be determined by your full-time or part-time
       employee status and pay grade. You will receive the full $5,000.00
       Financial Planning benefit regardless of your employment status
       throughout the Transition Period.

       Upon completion or termination of the Transition Period, March 31, 2003,
       or earlier, you will be given a one-time lump sum payment equal to 18
       months of your then current monthly medical insurance premiums, including
       Executive Medical benefits, as then paid by the Company. This payment
       will be grossed up to cover the net cost and will not take into account
       any estimated escalation in future cost increases.

5.     CONFIDENTIALITY AND COMMUNICATIONS. You and the Company agree that the
       terms of this Agreement will be held in confidence except to the extent
       that disclosures may be required by government regulations or judicial
       process or to receive tax, legal or financial advice. References that may
       request information about your employment will be referred to the Vice
       President of Human Resources.

6.     VACATION. You will continue to accrue vacation hours during the
       Transition Period per Company Policy as determined by your full-time or
       part-time employee status and number of years at the Company.

7.     INCENTIVE COMPENSATION PLAN (ICP). You will be eligible to participate in
       the Company's Incentive Compensation Plan (ICP) during the Transition
       Period. The potential ICP percentage payout is sixty-five percent (65%)
       of base salary and will be prorated as determined by your full-time or
       part-time employee status. Should the Company terminate the Transition
       Period any time prior to March 31, 2003, you will be given a one-time
       lump sum payment as if you had been employed through March 31, 2003,
       taking into account your part-time employment status per the base salary
       wage rate schedule under "Section 3. Compensation" of this agreement, and
       considering any proration consequences of the then current ICP period.
       Further, the prorated payment will be equivalent to one hundred percent
       (100%) of the ICP funding for your position for the then current ICP
       period. Calculation for the payment will be made at the end of the then
       current ICP period and paid at such time as all then current employees.

8.     INDEMNIFICATION AND ASSISTANCE.

       (a)    If you are subjected to any claim or demand involving any action
              or inaction allegedly taken by you during the course of your
              employment or directorship with the Company, you will be entitled
              to all rights of indemnification that may then be available to
              other executive officers or directors of the Company, including,
              without limitation, insurance protection under any director and/or
              officer liability insurance coverage maintained by the Company or
              any subsidiary and any rights to

<PAGE>
                                                        Mr. Michael A. Cornelius
                                                                  March 31, 2002
                                                                          Page 4

              indemnification provided by applicable law or the By-laws of the
              Company or any subsidiary, and the Company will, and shall cause
              any subsidiary to, cooperate fully with you in responding to or
              defending against any such claim or demand.

       (b)    During the Transition Period and thereafter, you agree to make
              yourself available to respond to inquiries by the Company
              regarding management, regulatory, and legal activities of which
              you acquired knowledge while employed by the Company. You agree to
              make yourself available, without the requirement of being
              subpoenaed, to confer with counsel at reasonable times and
              locations and upon reasonable notice concerning any knowledge you
              have or may have with respect to actual and/or potential disputes
              arising out of the activities of the Company during the period you
              were employed by the Company. You further agree to submit to
              deposition and/or testimony in accordance with the laws of the
              forum involved concerning any knowledge you have or may have with
              respect to actual and/or potential disputes arising out of the
              activities of the Company during the period you were employed by
              the Company.

9.     NON-COMPETITION. You acknowledge that you have in your capacity as an
       officer and director of the Company been given access to, and possess
       knowledge of, valuable proprietary and confidential information of the
       Company. You acknowledge that it would be impossible for you to provide
       work, advice, consulting, or other services to a competitor of the
       Company, whether as an employee, independent contractor, adviser,
       volunteer, director or in any other capacity, for any individual,
       partnership, corporation, or other business entity, without using,
       disclosing, evaluating or relying upon the Company's proprietary and
       confidential information. Accordingly, you agree that during the
       Transition Period and for a period of one (1) year thereafter you will
       not directly or indirectly, whether for your own account or as an
       employee, director, consultant or advisor, provide services to any
       business or engage in any business which at the time of commencement of
       such services is, or is expected to be, competitive with the Company's or
       any of its subsidiaries' product lines or business activities, unless you
       obtain the prior written consent of the Company's Chief Executive
       Officer.

10.    NON-SOLICITATION OF EMPLOYEES. You agree that during the Transition
       Period and for a period of one (1) year thereafter you will not directly
       or indirectly solicit any individuals to leave the Company's (or any of
       its subsidiaries') employ for any reason or interfere in any other manner
       with the employment relationships at the time existing between the
       Company (or any if its subsidiaries) and its current or prospective
       employees.

11.    NON-SOLICITATION OF BUSINESS RELATIONSHIPS. You agree that during the
       Transition Period and for a period of one (1) year thereafter you will
       not induce or attempt to induce any customer, supplier, distributor,
       licensor, licensee or other business relation of the Company (or any of
       its subsidiaries) to cease doing business with the Company (or any of its
       subsidiaries) or in any way interfere with the existing business
       relationship between any such customer, supplier, distributor, licensor,
       licensee or other business relation and the Company (or any of its
       subsidiaries).

<PAGE>
                                                        Mr. Michael A. Cornelius
                                                                  March 31, 2002
                                                                          Page 5

12.    IRREPARABLE HARM. You agree that the Company would be irreparably harmed
       by any breach or threatened breach of the agreements in Paragraphs 9, 10
       and 11 and that, therefore, the Company shall be entitled to an
       injunction prohibiting you from any breach or threatened breach of such
       agreements.

13.    NON-DISPARAGEMENT. You and the Company agree that each shall not (1)
       directly or indirectly, make or ratify any statement, public or private,
       oral or written, to any person that disparages, either professionally or
       personally, the other party, the other party's subsidiaries and
       affiliates, past and present, and each of them, as well as its and their
       trustees, directors, officers, agents, employees, stockholders,
       representatives, assigns, and successors, past and present, and each of
       them, or (2) make any statement or engage in any conduct that has the
       purpose or effect of disrupting the business of the other party,
       provided, however, that each party shall respond accurately and fully to
       any question, inquiry or request for information when required by legal
       process.

14.    CONFIDENTIAL INFORMATION. When you joined the Company you signed an
       agreement setting forth your obligations to the Company during and after
       your employment. A copy of your agreement is being delivered to you
       separately and is incorporated herein by reference. You understand and
       agree that in the course of your employment with the Company, you have
       acquired confidential information and trade secrets concerning the
       Company's business and financial operating plans and budgets, its
       strategic business plans and those of its subsidiaries, and its
       personnel. You understand and agree it could be extremely damaging to the
       Company if you disclosed such information to a competitor or made it
       available to any other person or company. You understand and agree that
       such information has been divulged to you in confidence, and you
       understand and agree that you will keep such information secret and
       confidential unless disclosure is required by court order or otherwise by
       compulsion of law. In view of the nature of your employment and the
       information and trade secrets which you have had access to during the
       course of your employment, you also agree that the Company would be
       irreparably harmed by any breach, or threatened breach of the agreements
       in this Paragraph and that, therefore, the Company shall be entitled to
       an injunction prohibiting you from any breach or threatened breach of
       such agreements.

15.    RELEASE OF CLAIMS. You agree that pursuant to this Agreement, the Company
       is providing consideration beyond the obligations owed to you by the
       Company or any subsidiary of the Company prior to entering this
       Agreement. You, on behalf of yourself and your heirs, agents,
       representatives, immediate family members, executors, successors, and
       assigns, hereby fully and forever release the Company and its agents,
       directors, employees, attorneys, investors, shareholders, administrators,
       affiliates, divisions, subsidiaries, parents, predecessor and successor
       corporations, and assigns from, and agree not to sue or otherwise
       institute or cause to be instituted any legal or administrative
       proceedings concerning, any claim, duty, obligation or cause of action
       relating to any matters of any kind, whether presently known or unknown,
       suspected or unsuspected, that you may possess against the Company
       arising from any omissions, acts or facts that have occurred up until and
       including the Effective Date including, without limitation,

<PAGE>
                                                        Mr. Michael A. Cornelius
                                                                  March 31, 2002
                                                                          Page 6

       (a)    Any and all claims relating to or arising from your relationship
              with the Company or any subsidiary of the Company, including, but
              not limited to, (i) your retirement from your position as Vice
              President, Law and Administration, and Secretary of WDC and WDT,
              and (ii) you assignment to the position of Vice President,
              Intellectual Property, during the Transition Period;

       (b)    Any and all claims relating to, or arising from, your right to
              purchase, or actual purchase of shares of stock of the Company or
              any subsidiary of the Company, including, without limitation, any
              claims for fraud, misrepresentation, breach of fiduciary duty,
              breach of duty under applicable state corporate law, and
              securities fraud under any state or federal law;

       (c)    Any and all claims for wrongful discharge of employment;
              termination in violation of public policy; discrimination; breach
              of contract, both express and implied; breach of a covenant of
              good faith and fair dealing, both express and implied; promissory
              estoppel; negligent or intentional infliction of emotional
              distress; negligent or intentional misrepresentation; negligent or
              intentional interference with contract or prospective economic
              advantage; unfair business practices; defamation; libel; slander;
              negligence; personal injury; invasion of privacy; false
              imprisonment; and conversion;

       (d)    Any and all claims for violation of any federal, state or
              municipal statute, including, but not limited to, Title VII of the
              Civil Rights Act of 1964, the Civil Rights Act of 1991, the Age
              Discrimination in Employment Act of 1967, the Americans with
              Disabilities Act of 1990, the Fair Labor Standards Act, the
              Employee Retirement Income Security Act of 1974, The Worker
              Adjustment and Retraining Notification Act, the Older Workers
              Benefit Protection Act; the California Fair Employment and Housing
              Act, and the California Labor Code;

       (e)    Any and all claims for violation of the federal or any state
              constitution;

       (f)    Any and all claims arising out of any other laws and regulations
              relating to employment or employment discrimination; and

       (g)    Any and all claims for attorneys' fees and costs.

<PAGE>
                                                        Mr. Michael A. Cornelius
                                                                  March 31, 2002
                                                                          Page 7

              You and the Company agree that the release set forth in this
              Paragraph shall be and remain in effect in all respects as a
              complete general release as to the matters released. This release
              does not extend to any obligations arising out of or created by
              this Agreement.

16.    ACKNOWLEDGMENT OF WAIVER OF CLAIMS UNDER ADEA. You acknowledge that you
       are waiving and releasing any rights you may have under the Age
       Discrimination in Employment Act of 1967 ("ADEA") and that this waiver
       and release is knowing and voluntary. You and the Company agree that this
       waiver and release does not apply to any rights or claims that may arise
       under the ADEA after the Effective Date of this Agreement. You
       acknowledge that the consideration given for this waiver and release
       Agreement is in addition to anything of value to which you were already
       entitled. You further acknowledge that you have been advised by this
       writing that (a) you should consult with an attorney prior to executing
       this Agreement; (b) you have seven (7) days following the execution of
       this Agreement by you to revoke the Agreement; and (c) this Agreement
       shall not be effective until the revocation period has expired. You
       acknowledge that under ADEA you have at least twenty-one (21) days under
       which to consider this agreement. After due consideration and
       consultation with your attorney, you have hereby knowingly and
       voluntarily waived this requirement. Any revocation should be in writing
       and delivered in accordance with the notice provisions of Paragraph 23
       hereof by close of business on the seventh day from the date that you
       sign this Agreement.

17.    CIVIL CODE SECTION 1542. You represent that you are not aware of any
       claim other than the claims that are released by this Agreement. You
       acknowledge that you have been advised by legal counsel and are familiar
       with the provisions of California Civil Code Section 1542, which provides
       as follows:

           A GENERAL RELEASE DOES NOT EXTEND TO CLAIMS WHICH THE CREDITOR DOES
           NOT KNOW OR SUSPECT TO EXIST IN HIS FAVOR AT THE TIME OF EXECUTING
           THE RELEASE, WHICH IF KNOWN BY HIM MUST HAVE MATERIALLY AFFECTED HIS
           SETTLEMENT WITH THE DEBTOR.

       You, being aware of said code section, agree to expressly waive any
       rights you may have thereunder, as well as under any other federal or
       state statute or common law principles of similar effect.

18.    REMEDIES IN EVENT OF FUTURE DISPUTE.

       (a)    Except as provided in subparagraph (b) below, in the event of any
              future dispute, controversy or claim between you and the Company,
              whether arising from or relating to this Agreement, its breach,
              any matter addressed by this Agreement, your employment with the
              Company before and through the Transition Period, or otherwise,
              you and the Company will first attempt to resolve the dispute
              through confidential non-binding mediation to be conducted in
              Orange County, California by

<PAGE>
                                                        Mr. Michael A. Cornelius
                                                                  March 31, 2002
                                                                          Page 8

              JAMS-Endispute or such other mediator as you and the Company shall
              mutually agree upon. If the dispute is not resolved through
              mediation, you and the Company will submit it to final and binding
              confidential arbitration to be conducted in Orange County,
              California by JAMS/Endispute in accordance with the then existing
              JAMS/Endispute Arbitration Rules and Procedures for Employment
              Disputes. In the event of such an arbitration proceeding, you and
              the Company shall select a mutually acceptable neutral arbitrator
              from among the JAMS/Endispute panel of arbitrators. If you and the
              Company cannot agree on an arbitrator, the Administrator of
              JAMS/Endispute shall appoint an arbitrator. None of you, the
              Company or the arbitrator shall disclose the existence, content,
              or results of any arbitration hereunder without the prior written
              consent of both of you and the Company, except as may be compelled
              by court order. Except as provided herein, the Federal Arbitration
              Act shall govern the interpretation and enforcement of such
              arbitration and all proceedings. The arbitrator shall apply the
              substantive law (and the law of remedies, if applicable) of the
              State of California, or Federal law, or both, as applicable, and
              the arbitrator is without jurisdiction to apply any different
              substantive law. The arbitrator shall render an award and a
              written, reasoned opinion in support thereof. Judgment upon the
              award may be entered in any court having jurisdiction thereof. You
              and the Company intend this arbitration provision to be valid,
              enforceable, irrevocable and construed as broadly as possible.

       (b)    In the event that a dispute arises concerning compliance with this
              Agreement, either you or the Company will be entitled to obtain
              from a court with jurisdiction over you and the Company
              preliminary and permanent injunctive relief to enjoin or restrict
              the other party from such breach or to enjoin or restrict a third
              party from inducing any such breach, and other appropriate relief,
              including money damages. By seeking any such relief, however, the
              moving party shall not be relieved of such party's obligation
              hereunder to have any remaining portion of the controversy
              resolved by binding confidential arbitration in accordance with
              subparagraph (a) above.

       (c)    The Company shall pay the forum costs for any such arbitration.
              The prevailing party in any such arbitration or court proceeding
              shall be entitled to recover from the losing party such of his or
              its reasonable costs and expenses, including reasonable attorneys'
              fees, incurred in connection with the arbitration or court
              proceeding as would be recoverable had such party's claim been
              brought as a civil action in a court of competent jurisdiction.

19.    ASSIGNMENT. The rights and obligations of the Company under this
       Agreement shall inure to the benefit of and shall be binding upon the
       present and future subsidiaries of the Company, any and all subsidiaries
       of a subsidiary, all affiliated corporations, and successors and assigns
       of the Company. No assignment of this Agreement by the Company will
       relieve the Company of its obligations. You shall not assign any of your
       rights and/or obligations under this Agreement and any such attempted
       assignment will be void. This Agreement shall be binding upon and inure
       to the benefit of your heirs, executors, administrators, or other legal
       representatives and their legal assigns.

<PAGE>
                                                        Mr. Michael A. Cornelius
                                                                  March 31, 2002
                                                                          Page 9

20.    WAIVER. A waiver by either you or the Company of any of the terms or
       conditions of this Agreement in any instance shall not be deemed or
       construed to be a waiver of such term or condition for the future, or of
       any subsequent breach thereof. All remedies, rights, undertakings,
       obligations, and agreements contained in this Agreement shall be
       cumulative, and none of them shall be in limitation of any other remedy,
       right, undertaking, obligation or agreement of either you or the Company.

21.    TAX CONSEQUENCES. The Company makes no representations or warranties with
       respect to the tax consequences of the payment of any sums to you under
       the terms of this Agreement. You agree and understand that you are
       responsible for payment, if any, of local, state and/or federal taxes on
       the sums paid hereunder by the Company and any penalties or assessments
       thereon.

22.    COSTS. Except as provided in Paragraph 18 hereof, you and the Company
       shall each bear your own costs, expert fees, attorneys' fees and other
       fees incurred in connection with this Agreement.

23.    NOTICES. All notices required by this Agreement shall by given in writing
       either by personal delivery or by first class mail, return receipt
       requested. Notices shall be addressed as follows:

       To Western Digital:          Western Digital Corporation
                                    20511 Lake Forest Drive
                                    Lake Forest, CA 92630-7741
                                    Attention:  Vice President, Human Resources
                                                and Administration

       To Mr. Cornelius:            25196 Black Horse Lane
                                    Laguna Hills CA  92653

       or in each case to such other address as you or the Company shall notify
       the other. Notice given by personal delivery shall be deemed given upon
       delivery. Notice given by mail shall be deemed given five (5) days
       following the date of mailing.

24.    ENTIRE AGREEMENT. This Agreement, including its Attachments and the other
       agreements or plans referred to or incorporated herein, represents the
       entire agreement and understanding between you and the Company concerning
       the subject matter herein, and supersedes and replaces any and all prior
       agreements and understandings.

<PAGE>
                                                        Mr. Michael A. Cornelius
                                                                  March 31, 2002
                                                                         Page 10

25.    NO ORAL MODIFICATION. This Agreement may only be modified by a writing
       signed by you and the Chief Executive Officer of the Company or the Chief
       Legal Officer of the Company.

26.    GOVERNING LAW. This Agreement shall be governed by the internal
       substantive laws, but not the choice of law rules, of the State of
       California.

27.    EFFECTIVE DATE. This Agreement is effective eight days after it has been
       signed by both you and the Company (the "Effective Date").

28.    COUNTERPARTS. This Agreement may be executed in counterparts, and each
       counterpart shall have the same force and effect as an original and shall
       constitute an effective, binding agreement on the part of you and the
       Company.

29.    VOLUNTARY EXECUTION OF AGREEMENT. This Agreement is executed by you
       voluntarily and without any duress or undue influence on the part or
       behalf of the Company, with the full intent of releasing all claims. You
       acknowledge that:

       (a)    You have read this Agreement;

       (b)    You have been represented in the preparation, negotiation, and
              execution of this Agreement by legal counsel of your own choice or
              that you have voluntarily declined to seek such counsel;

       (c)    You understand the terms and consequences of this Agreement and of
              the releases it contains; and

       (d)    You are fully aware of the legal and binding effect of this
              Agreement.

Please indicate your agreement to the above by signing below.

Very truly yours,

WESTERN DIGITAL CORPORATION

/s/ David C. Fetah
David C. Fetah
Vice President Human Resources and Administration

I have read and agree to all terms and conditions as outlined above.

   /s/ Michael A. Cornelius
   ------------------------------------------            -----------------------
   Michael A. Cornelius                                           Date

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