Apple in FTC settlement

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Apple Computer, in an unusual settlement of Federal Trade Commission charges, agreed to offer Power PC upgrade kits at less than half price to 1993 and 1994 purchasers of the company's entry-level Performa models. A $776 rebate will be provided to consumers who already bought the upgrade. The FTC charged Apple's advertising for the Performa models misrepresented that an upgrade to Power PC technology was available to consumers; FTC said the upgrade was not available until a year later and then cost $1,375, nearly as much as a new machine. BBDO West, Los Angeles, handles Apple advertising.

Copyright March 1997, Crain Communications Inc.

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