Exhibit 99.1

Contact: For Release:
Brad Cohen July 31, 2012
Public Relations 1:05 p.m. PDT
Quantum Corp.
(408) 944-4044
brad.cohen@quantum.com

Christi Lee
Investor Relations
Quantum Corp.
(408) 944-4450
ir@quantum.com

QUANTUM CORPORATION REPORTS FISCAL FIRST QUARTER RESULTS

Highlights:

SAN JOSE, Calif., July 31, 2012 – Quantum Corp. (NYSE:QTM), a proven global expert in data protection and big data management, today reported results for the first quarter of fiscal 2013 (FQ1’13), ended June 30, 2012. Revenue for the quarter totaled $141 million, down 8 percent from the first quarter of fiscal 2012 (FQ1’12) primarily due to lower-than-expected revenue in Europe and challenges closing large deals in the last few weeks of the quarter. Despite the overall revenue decline, disk systems and software sales (including related service revenue) grew 11 percent year-over-year to $31 million, the highest level in a fiscal first quarter to date. The primary drivers of this growth were StorNext® software and appliances for big data environments, which increased nearly 50 percent over FQ1’12, and midrange DXi® disk-based data protection appliances, which increased 10 percent year-over-year.

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Due largely to the overall revenue shortfall, Quantum reported a GAAP net loss of $17 million, or 7 cents per share, for FQ1’13, compared to a GAAP net loss of $5 million in FQ1’12. On a non-GAAP basis, the company had a net loss of $9 million, or 4 cents per share, down from net income of $3 million in the same quarter last year.

“Our overall June quarter results were not what we planned for and not what we expected when we started the fiscal year, and they were clearly disappointing,” said Jon Gacek, president and CEO of Quantum. “Although we can’t do anything about the macroeconomic conditions that impacted Quantum and many other companies, we know we must adjust the business and improve our execution around what we can control to drive better financial performance, including revenue growth and profitability – and that is our focus.

“We are continuing to enhance and expand our already strong product portfolio in both data protection and big data management. In addition, we are driving increased brand awareness and end user marketing and engaging more closely with key channel partners. As a result, we believe we are still well-positioned to capitalize on market opportunities.”

Outlook

For the second quarter of fiscal 2013, the company expects:

Business Highlights

Key business highlights for the June quarter include the following:

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Conference Call and Audio Webcast Notification

Quantum will hold a conference call today, July 31, 2012, at 2:00 p.m. PDT, to discuss its fiscal first quarter results. Press and industry analysts are invited to attend in listen-only mode. Dial-in number: (480) 629-9835 (U.S. & International). Quantum will provide a live audio webcast of the conference call beginning today, July 31, 2012, at 2:00 p.m. PDT. Site for the webcast and related information: http://www.quantum.com/investors.

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About Quantum

Quantum is a proven global expert in data protection and big data management, providing specialized storage solutions for physical, virtual and cloud environments. From small businesses to major enterprises, more than 50,000 customers trust Quantum to help maximize the value of their data by protecting and preserving it over its entire lifecycle. With Quantum, customers can Be CertainTM they’re able to adapt in a changing world – keeping more data longer, bridging from today to tomorrow, and reducing costs. See how at www.quantum.com/BeCertain.

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Quantum, the Quantum logo, Be Certain, DXi and StorNext are either registered trademarks or trademarks of Quantum Corporation and its affiliates in the United States and/or other countries. All other trademarks are the property of their respective owners.

“Safe Harbor” Statement under the U.S. Private Securities Litigation Reform Act of 1995: This press release contains “forward-looking” statements within the meaning of the Private Securities Litigation Reform Act of 1995. Specifically, without limitation, our statements regarding driving improved financial performance, expanding our product portfolio, driving increased brand awareness, end-user marketing and channel partner engagement, capitalizing on market opportunities and all of our statements under the “Outlook” section are forward-looking statements within the meaning of the Safe Harbor. All forward-looking statements in this press release are based on information available to Quantum on the date hereof. These statements involve known and unknown risks, uncertainties and other factors that may cause Quantum’s actual results to differ materially from those implied by the forward-looking statement. More detailed information about these risk factors, and additional risk factors, are set forth in Quantum’s periodic filings with the Securities and Exchange Commission, including, but not limited to, those risks and uncertainties listed in the section entitled “Item 1A. Risk Factors,” in Quantum’s Annual Report on Form 10-K filed with the Securities and Exchange Commission on June 14, 2012. Quantum expressly disclaims any obligation to update or alter its forward-looking statements, whether as a result of new information, future events or otherwise.

Use of Non-GAAP Financial Measures

Quantum believes that the non-GAAP financial measures disclosed above provide useful and supplemental information to investors regarding its quarterly financial performance. Quantum management uses these non-GAAP financial measures internally to understand, manage and evaluate the company’s business results and make operating decisions. For instance, Quantum management often makes decisions regarding staffing, future management priorities and how the company will direct future operating expenses on the basis of non-GAAP financial measures. In addition, compensation of our employees is based in part on the performance of our business based on non-GAAP operating income.

The non-GAAP financial measures used in this press release exclude the impact of acquisition expenses, amortization of intangibles, restructuring charges and share-based compensation expense for the following reasons:

Acquisition Expenses

The acquisition expenses were those expenses incurred to acquire Pancetera, Inc. and are not part of Quantum’s future core operations.

Amortization of Intangible Assets

This includes acquired intangibles such as purchased technology and customer relationships in connection with prior acquisitions. These expenses are not factored into management’s evaluation of potential acquisitions or Quantum’s performance after completion of the acquisitions because they are not related to Quantum’s core operating performance. In addition, the frequency and amount of such charges can vary significantly based on the size and timing of acquisitions and the maturities of the businesses being acquired. Excluding acquisition-related charges from non-GAAP measures provides investors with a basis to compare Quantum against the performance of other companies without the variability caused by purchase accounting.

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Restructuring Charges

Restructuring charges primarily relate to expenses associated with changes to Quantum’s operating structure. Restructuring charges are excluded from non-GAAP financial measures because they are not considered core operating activities. Although Quantum has engaged in various restructuring activities in the past, each has been a discrete event based on a unique set of business objectives. Management believes that it is appropriate to exclude restructuring charges from Quantum’s non-GAAP financial measures, as it enhances the ability of investors to compare Quantum’s period-over-period operating results from continuing operations.

Share-Based Compensation Expense

Share-based compensation expense relates primarily to equity awards such as stock options and restricted stock units. Share-based compensation is a non-cash expense that varies in amount from period to period and is dependent on market forces that are often beyond Quantum’s control. As a result, management excludes this item from Quantum’s internal operating forecasts and models. Management believes that non-GAAP measures adjusted for share-based compensation provide investors with a basis to measure Quantum’s core performance against the performance of other companies without the variability created by share-based compensation as a result of the variety of equity awards used by other companies and the varying methodologies and assumptions used.

Non-GAAP financial measures should not be considered as a substitute for, or superior to, measures of financial performance prepared in accordance with GAAP. They are limited in value because they exclude charges that have a material impact on the company’s reported financial results and, therefore, should not be relied upon as the sole financial measures to evaluate the company. The non-GAAP financial measures are meant to supplement, and be viewed in conjunction with, GAAP financial measures. Investors are encouraged to review the reconciliation of the non-GAAP financial measures to their most directly comparable GAAP financial measures as provided in the tables accompanying this press release.

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QUANTUM CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share amounts)
(Unaudited)

Three Months Ended
      June 30, 2012       June 30, 2011
 Revenue:
        Product $        93,811 $        102,268
        Service 36,087 36,696
        Royalty 10,981 14,571
               Total revenue 140,879 153,535
 Cost of revenue:
        Product 64,750 68,507
        Service 20,334 22,066
        Restructuring benefit related to cost of revenue (300 )
               Total cost of revenue 85,084 90,273
                      Gross margin 55,795 63,262
 Operating expenses:
        Research and development 18,549 18,580
        Sales and marketing 35,278 30,525
        General and administrative 16,780 16,002
        Restructuring benefit (164 )
  70,607 64,943
                      Loss from operations (14,812 ) (1,681 )
 Other income and expense (338 ) (98 )
 Interest expense (1,849 ) (2,809 )
                      Loss before income taxes (16,999 ) (4,588 )
 Income tax provision 499 638
                      Net loss $ (17,498 ) $ (5,226 )
 Basic and diluted net loss per share $ (0.07 ) $ (0.02 )
   
 Basic and diluted weighted average common and common equivalent shares 236,628 228,423
  
 Included in the above Statements of Operations:
        Amortization of intangibles:
               Cost of revenue $ 1,362 $ 2,575
               Sales and marketing 3,256 3,331
               General and administrative 25
  4,618 5,931
        Share-based compensation:
               Cost of revenue 571 455
               Research and development 900 640
               Sales and marketing 1,084 719
               General and administrative 1,732 1,203
   4,287 3,017
        Acquisition expenses 232

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QUANTUM CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands)
(Unaudited)

      June 30, 2012       March 31, 2012*
Assets
Current assets:
       Cash and cash equivalents $        46,270 $              51,261
       Restricted cash 3,958 4,230
       Accounts receivable, net 86,857 110,840
       Manufacturing inventories 63,575 61,111
       Service parts inventories 38,438 39,050
       Deferred income taxes 4,891 5,295
       Other current assets 12,059 9,434
              Total current assets 256,048 281,221
Long-term assets:
       Property and equipment, net 25,287 25,440
       Intangible assets and goodwill 77,107 81,725
       Other long-term assets 6,086 6,962
              Total long-term assets 108,480 114,127
    $ 364,528 $ 395,348
Liabilities and Stockholders’ Deficit
Current liabilities:
       Accounts payable $ 47,367 $ 56,304
       Accrued warranty 7,797 7,586
       Deferred revenue, current 86,131 93,441
       Accrued restructuring charges 1,268 1,752
       Accrued compensation 31,451 31,971
       Income taxes payable 618 1,133
       Other accrued liabilities 18,598 17,866
              Total current liabilities 193,230 210,053
Long-term liabilities:
       Deferred revenue, long-term 36,389 36,430
       Deferred income taxes 4,530 4,564
       Long-term debt 49,495 49,495
       Convertible subordinated debt 135,000 135,000
       Other long-term liabilities 6,438 6,486
              Total long-term liabilities 231,852 231,975
Stockholders’ deficit (60,554 ) (46,680 )
$ 364,528 $ 395,348
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*       Derived from the March 31, 2012 audited Consolidated Financial Statements.

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QUANTUM CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands)
(Unaudited)

Three Months Ended
June 30, 2012       June 30, 2011
Cash flows from operating activities:
       Net loss $         (17,498 ) $         (5,226 )
       Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
              Depreciation 3,021 2,982
              Amortization 4,912 6,482
              Service parts lower of cost or market adjustment 2,029 1,735
              Deferred income taxes 382 (493 )
              Share-based compensation 4,287 3,017
              Changes in assets and liabilities, net of effect of acquisition:
                     Accounts receivable 23,983 18,150
                     Manufacturing inventories (4,603 ) (2,564 )
                     Service parts inventories 722 1,328
                     Accounts payable (8,891 ) (1,364 )
                     Accrued warranty 211 123
                     Deferred revenue (7,351 ) (7,055 )
                     Accrued restructuring charges (484 ) (2,486 )
                     Accrued compensation (274 ) (1,019 )
                     Income taxes payable (474 ) 303
                     Other assets and liabilities (1,081 ) (2,545 )
Net cash provided by (used in) operating activities (1,109 ) 11,368
 
Cash flows from investing activities:
       Purchases of property and equipment (3,984 ) (3,413 )
       Decrease in restricted cash 109 300
       Return of principal from other investments 208
       Payment for business acquisition, net of cash acquired (8,152 )
Net cash used in investing activities (3,667 ) (11,265 )
 
Cash flows from financing activities:
       Repayments of long-term debt (5,267 )
       Payment of taxes due upon vesting of restricted stock (321 ) (424 )
       Proceeds from issuance of common stock 176 3,433
Net cash used in financing activities (145 ) (2,258 )
 
Effect of exchange rate changes on cash and cash equivalents (70 ) (26 )
 
Net decrease in cash and cash equivalents (4,991 ) (2,181 )
Cash and cash equivalents at beginning of period 51,261 76,010
Cash and cash equivalents at end of period $ 46,270 $ 73,829

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QUANTUM CORPORATION
GAAP TO NON-GAAP RECONCILIATION
(In thousands, except per share amounts)
(Unaudited)

Three Months Ended June 30, 2012
Gross
Margin
      Gross
Margin
Rate
      Net Loss       Per Share
Net Loss,
Basic
      Per Share
Net Loss,
Diluted
GAAP $       55,795        39.6% $       (17,498 ) $       (0.07 ) $       (0.07 )
Non-GAAP Reconciling Items:
       Amortization of intangibles 1,362 4,618
       Share-based compensation 571 4,287
Non-GAAP $ 57,728 41.0% $ (8,593 ) $ (0.04 ) $ (0.04 )
       
                            Computation of basic and diluted net loss per share: GAAP Non-GAAP
                                   Net loss $ (17,498 ) $ (8,593 )
 
                            Weighted average shares:
                                   Basic 236,628 236,628
                                          Dilutive shares from stock plans
                                          Dilutive shares from convertible notes
                                   Diluted 236,628 236,628
 
Three Months Ended June 30, 2011
Gross
Margin
Gross
Margin
Rate
Net Income
(Loss)
Per Share
Net Income
(Loss),
Basic
Per Share
Net Income
(Loss),
Diluted
GAAP $ 63,262 41.2% $ (5,226 ) $ (0.02 ) $ (0.02 )
Non-GAAP Reconciling Items:
       Amortization of intangibles 2,575 5,931
       Share-based compensation 455 3,017
       Restructuring benefit (300 ) (464 )
       Acquisition expenses 232
Non-GAAP $ 65,992 43.0% $ 3,490 $ 0.02 $ 0.01
       
                            Computation of basic and diluted net income (loss) per share: GAAP Non-GAAP
                                   Net income (loss) $ (5,226 ) $ 3,490
 
                            Weighted average shares:
                                   Basic 228,423 228,423
                                          Dilutive shares from stock plans 9,689
                                          Dilutive shares from convertible notes
                                   Diluted 228,423 238,112

The non-GAAP information set forth in this table is not prepared in accordance with generally accepted accounting principles and may be different from non-GAAP financial information used by other companies.

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QUANTUM CORPORATION
FORECAST SECOND QUARTER FISCAL 2013
GAAP TO NON-GAAP RECONCILIATION
(Dollars in millions)

              Percentage              
Forecast second quarter gross margin rate on a GAAP basis 40.9%
Forecast amortization of intangibles 0.7%
Forecast share-based compensation 0.4%  
Forecast second quarter gross margin rate on a non-GAAP basis 42.0%
 
Dollar range
Forecast second quarter operating expense on a GAAP basis $ 69.9 — $ 71.9
Forecast amortization of intangibles 2.6
Forecast share-based compensation 3.3
Forecast second quarter operating expense on a non-GAAP basis  $ 64.0 — $ 66.0

Estimates based on current (July 31, 2012) projections.

The projected GAAP and non-GAAP financial information set forth in this table represent forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. For risk factors that could impact these projections, see our Annual Report on Form 10-K as filed with the SEC on June 14, 2012. We disclaim any obligation to update information in any forward-looking statement.

The non-GAAP financial information set forth in this table is not prepared in accordance with generally accepted accounting principles and may be different from non-GAAP financial information used by other companies.

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