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Technology Stocks : Amazon.com, Inc. (AMZN) -- Ignore unavailable to you. Want to Upgrade?

To: Glenn D. Rudolph who wrote (21956)	10/16/1998 3:38:00 PM
From: MrLuckyman	Read Replies (1) \| Respond to of 164684

SUIT IS NO JOKE Wal-Mart Files Legal Action Against Amazon.com Complaint Alleges that Amazon.com Has Been Infringing on Wal-Mart Trade Secrets BENTONVILLE, Ark., Oct. 16 /PRNewswire/ -- Wal-Mart Stores, Inc. (NYSE: WMT; PCX) announced today the filing of legal action against Amazon.com, and its affiliates, Kleiner Perkins Caufield & Byers, Drugstore.com, and others, for violation of the Arkansas Trade Secrets Act. The Trade Secrets Act makes it illegal for an individual, or a group of individuals, to use a company's trade secrets for their personal advantage, or to the advantage of a competing company. Wal-Mart is asking the court to issue an injunction against Amazon.com and other Kleiner Perkins companies forbidding them to utilize any Wal-Mart systems knowledge or transferring that knowledge to other companies. Wal-Mart is also asking them to stop targeting Wal-Mart associates and vendors in an effort to duplicate proprietary business systems. The lawsuit was filed in the Chancery Court of Benton County, Arkansas, site of Wal-Mart's corporate headquarters. According to Wal-Mart, the purpose of the lawsuit is to bring an immediate stop to what appears to be a wholesale raiding of its proprietary and highly confidential information systems by Amazon.com and others through the use of former Wal-Mart associates. "We are pursuing this action in the interests of our shareholders and associates," said Robert Rhoads, Senior Vice President and General Counsel for Wal-Mart. "Our information and logistics systems are world renowned and a key factor in our success. We developed these systems, invested the necessary resources to make them work, and they are for our exclusive use. "Clearly, Amazon.com has targeted a specific combination of individuals for their expertise and inside knowledge of Wal-Mart's distribution, data warehousing, and merchandise management systems. We call on Amazon.com to immediately stop interfering with Wal-Mart and the individuals in whom our company has placed its trust and confidence," Rhoads said. The complaint alleges that by hiring these individuals to gain the specific knowledge and programs developed at Wal-Mart's expense, Amazon.com is improperly trying to obtain trade secrets, as well as other confidential information, that are unique to Wal-Mart. Wal-Mart has been, and will continue to be, damaged by Amazon.com's action, the complaint further alleges. Wal-Mart Stores, Inc. (WMT) operates more than 2,300 stores and 440 Sam's Club membership warehouses in the United States. Internationally, the company operates units in Argentina (13), Brazil (9), Canada (147), Germany (21), Mexico (406), and Puerto Rico (14), and under joint venture in China (3) and Korea (4). Wal-Mart employs more than 780,000 associates in the United States and 115,000 internationally. In 1997, the company raised and donated more than $102 million for charitable organizations. Wal-Mart (WMT) is listed on the New York and Pacific stock exchanges.