AMENDED AND RESTATED

                            ARTICLES OF INCORPORATION

                                       OF

                       HUTCHINSON TECHNOLOGY INCORPORATED

 

 

                                    ARTICLE I

 

       The name of this Corporation is Hutchinson Technology Incorporated.

 

                                   ARTICLE II

 

       The registered  office of this Corporation is located at 40 West Highland

Park, Hutchinson, Minnesota 55350.

 

                                   ARTICLE III

 

       This  Corporation  is  authorized  to issue an aggregate  of  100,000,000

shares, all of which shall be designated as Common Stock,  having a par value of

$0.01 per share.

 

                                   ARTICLE IV

 

       The  shareholders of this  Corporation  shall have no preemptive right to

subscribe  to any  issue  of  shares  of any  class of this  Corporation  now or

hereafter made. Voting by shareholders shall not be cumulative.

 

                                    ARTICLE V

 

       (a)    Whether or not a vote of shareholders is otherwise  required,  the

affirmative  vote of the holders of not less than two-thirds of the voting power

of the outstanding  "voting shares" (as hereinafter  defined) of the Corporation

shall be required for (i) the approval or  authorization  of any "Related Person

Business Transaction" (as hereinafter defined) involving the Corporation or (ii)

the  approval  or  authorization  by  the  Corporation,  in  its  capacity  as a

shareholder, of any Related Person Business Transaction involving a "Subsidiary"

(as  hereinafter  defined) which requires the approval or  authorization  of the

shareholders of the Subsidiary;  provided,  however, that such two-thirds voting

requirement   shall  not  be  applicable  if  the  "Continuing   Directors"  (as

hereinafter defined) by a vote of not less than the greater of (A) two-thirds or

(B) two of the Continuing  Directors have expressly  approved the Related Person

Business Transaction.

 

       (b)    For the purposes of this Article V:

 

       (i)    The term "Related Person Business  Transaction" shall mean (A) any

merger of the Corporation or a Subsidiary with or into a Related Person, (B) any

exchange of shares of the  Corporation  or a Subsidiary  for shares of a Related

Person  which,  in  the  absence  of  this  Article,  would  have  required  the

affirmative  vote of at least a majority of the voting power of the  outstanding

shares  of the  Corporation  entitled  to  vote or the  affirmative  vote of the

Corporation,  in its capacity as a shareholder of the Subsidiary,  (C) any sale,

lease, exchange,  transfer, or other disposition (in one transaction or a series

of transactions),  including without limitation a mortgage or any other security

device, of all or any "Substantial Part" (as hereinafter  defined) of the assets

either of the Corporation  (including  without limitation any voting shares of a

Subsidiary) or of a Subsidiary to or with a Related Person, (D) any sale, lease,

exchange,  transfer,  or other  disposition  (in one  transaction or a series of

transactions)  of all or any Substantial  Part of the assets of a Related Person

to or with the  Corporation or a Subsidiary,  (E) the issuance of any securities

of the Corporation (except pursuant to stock dividends, stock splits, or similar

<PAGE>

transactions  which would not have the effect of  increasing  the  proportionate

voting power of a Related  Person) or of a Subsidiary to a Related  Person,  (F)

any  recapitalization  or  reclassification   that  would  have  the  effect  of

increasing the proportionate  voting power of a Related Person, (G) the adoption

of any plan or proposal for the liquidation or dissolution of the Corporation at

the time the Corporation has a Related Person, and (H) any agreement,  contract,

arrangement, or understanding providing for any of the transactions described in

this definition of Related Person Business Transaction.

 

       (ii)   The term "Related Person" shall mean and include (A) any person or

entity  which,   together  with  its  "Affiliates"  and  "Associates"  (both  as

hereinafter  defined),  "beneficially  owns"  (as  hereinafter  defined)  in the

aggregate  20  percent  or  more  of  the  outstanding   voting  shares  of  the

Corporation, and (B) any Affiliate or Associate (other than the Corporation or a

wholly-owned subsidiary of the Corporation) of any such person or entity. Two or

more persons or entities acting as a syndicate or group,  or otherwise,  for the

purpose of acquiring,  holding, or disposing of voting shares of the Corporation

shall be deemed to be a "person" or "entity", as the case may be.

 

       (iii)  The term  "Affiliate",  used to  indicate  a  relationship  with a

specified  person or entity,  shall mean a person or entity  that  directly,  or

indirectly through one or more intermediaries, controls, or is controlled by, or

is under common control with, the person or entity specified.

 

       (iv)   The term  "Associate",  used to  indicate  a  relationship  with a

specified  person or entity,  shall mean (A) any entity of which such  specified

person or entity is an officer or partner or is,  directly  or  indirectly,  the

beneficial  owner of 10 percent or more of any class of equity  securities,  (B)

any  trust or other  estate in which  such  specified  person  or  entity  has a

substantial  beneficial  interest or as to which such specified person or entity

serves as trustee or in a similar fiduciary capacity, (C) any relative or spouse

of such specified person, or any relative of such spouse,  who has the same home

as such specified  person or who is a director or officer of the  Corporation or

any  Subsidiary,  and  (D) any  person  who is a  director  or  officer  of such

specified  entity  or  any  of its  parents  or  subsidiaries  (other  than  the

Corporation or a wholly-owned subsidiary of the Corporation).

 

       (v)    The term  "Substantial  Part" shall mean 30 percent or more of the

fair market value of the total  assets of the person or entity in  question,  as

reflected on the most recent balance sheet of such person or entity  existing at

the time the  shareholders  of the  Corporation  would be required to approve or

authorize  the  Related  Person  Business   Transaction   involving  the  assets

constituting any such Substantial Part.

 

       (vi)   The term  "Subsidiary"  shall mean any corporation,  a majority of

the equity  securities  of any class of which are owned by the  Corporation,  by

another  Subsidiary,  or in the aggregate by the  Corporation and one or more of

its Subsidiaries.

 

       (vii)  The term  "Continuing  Director"  shall mean a director  who was a

member of the Board of Directors of the  Corporation  either on May 15, 1983, or

immediately  prior to the time that any Related  Person  involved in the Related

Person Business  Transaction in question became a Related Person,  provided that

in no event  shall a Related  Person  involved in the  Related  Person  Business

Transaction in question be deemed to be a Continuing Director.

 

       (viii) The term "voting  shares"  shall mean shares of capital stock of a

corporation entitled to vote generally in the election of directors,  considered

for the purposes of this Article as one class.

 

       (ix)   (A) A person or entity  "beneficially  owns" voting  shares of the

Corporation  if such  person or entity,  directly  or  indirectly,  through  any

contract, arrangement,  understanding,  relationship, or otherwise has or shares

(1) voting power which  includes the power to vote,  or to direct the voting of,

such voting shares, or (2) investment power which includes the power to dispose,

or to direct the disposition of, such voting shares. Any person or entity which,

directly  or  indirectly,  creates or uses a trust,  proxy,  power of  attorney,

pooling  arrangement  or any other  contract,  arrangement,  or device

<PAGE>

with the  purpose or effect of  divesting  such  person or entity of  beneficial

ownership of voting shares of the  Corporation or preventing the vesting of such

beneficial  ownership  as part of a plan or scheme to avoid  becoming  a Related

Person shall be deemed for purposes of this Article V to be the beneficial owner

of such voting shares.  All voting shares of the Corporation  beneficially owned

by a person or entity,  regardless of the form which such  beneficial  ownership

takes,  shall be  aggregated in  calculating  the number of voting shares of the

Corporation  beneficially  owned by such person or entity.  Any voting shares of

the Corporation  that any person or entity has the right to acquire  pursuant to

any agreement, contract,  arrangement, or understanding, or upon exercise of any

conversion right,  warrant, or option, or pursuant to the automatic  termination

of a trust, discretionary account or similar arrangement,  or otherwise shall be

deemed  beneficially  owned by such person or entity.  Any voting  shares of the

Corporation  not  outstanding  which any person or entity has a right to acquire

shall be deemed to be outstanding for the purpose of computing the percentage of

outstanding  voting shares of the Corporation  beneficially owned by such person

or entity but shall not be deemed to be outstanding for the purpose of computing

the  percentage of  outstanding  voting shares of the  Corporation  beneficially

owned by any other person or entity.

 

              (B) Notwithstanding  the  foregoing   provisions  of  subparagraph

(b)(ix)(A) hereof:

 

              (1) A member of a national securities exchange shall not be deemed

to be a beneficial  owner of voting shares of the  Corporation  held directly or

indirectly  by it on behalf of  another  person or entity  solely  because  such

member is the record holder of such voting shares and,  pursuant to the rules of

such exchange,  may direct the vote of such voting shares,  without instruction,

on other than  contested  matters or matters that may affect  substantially  the

rights or privileges of the holders of the voting shares of the  Corporation  to

be voted,  but is otherwise  precluded by the rules of such exchange from voting

without instruction;

 

              (2) A commercial bank, broker or dealer or insurance company which

in the  ordinary  course  of  business  is a  pledgee  of  voting  shares of the

Corporation  under a  written  pledge  agreement  shall  not be deemed to be the

beneficial  owner of such pledged  voting shares until the pledgee has taken all

formal  steps  necessary to declare a default and  determines  that the power to

vote or to direct the vote or to dispose  or to direct the  disposition  of such

pledged  securities  will be exercised,  provided that the pledgee  agreement is

bona fide and was not  entered  into  with the  purpose  nor with the  effect of

changing or influencing  the control of the  Corporation  nor in connection with

any  transaction  having such purpose or effect and, prior to default,  does not

grant to the  pledgee  the  power to vote or to direct  the vote of the  pledged

voting shares of the Corporation; and

 

              (3) A person or entity  engaged in business as an  underwriter  of

securities  who  acquires   voting  shares  of  the   Corporation   through  its

participation in good faith in a firm commitment  underwriting  registered under

the  Securities  Act of 1933, or comparable  successor  law, rule or regulation,

shall not be deemed to be the  beneficial  owner of such voting shares until the

expiration of forty days after the date of such acquisition.

 

              (x) A merger shall mean a statutory merger or consolidation.

 

              (c) For the purposes of this Article V the Continuing Directors by

a vote  of not  less  than  the  greater  of (A)  two-thirds  or (B)  two of the

Continuing Directors shall have the power to make a good faith determination, on

the basis of  information  known to them, of: (i) the number of voting shares of

the Corporation that any person or entity  "beneficially  owns",  (ii) whether a

person or entity is an  Affiliate or  Associate  of another,  (iii)  whether the

assets  subject  to  any  Related  Person  Business  Transaction   constitute  a

Substantial  Part,  (iv)  whether  any  business  transaction  is one in which a

Related Person has an interest, and (v) such other matters with respect to which

a determination is required under this Article V.

<PAGE>

            (d) The  provisions  set forth in this  Article  V,  including  this

paragraph  (d), may not be repealed or amended in any respect unless such action

is approved by the  affirmative  vote of the holders of not less than two-thirds

of the voting power of the outstanding voting shares of the Corporation.

 

                                   ARTICLE VI

 

            No director of the Corporation  shall be personally  liable to the

Corporation  or its  shareholders  for monetary  damages for breach of fiduciary

duty as a director;  provided, however, that this Article VI shall not eliminate

or limit the liability of a director to the extent  provided by  applicable  law

(i) for any breach of the director's  duty of loyalty to the  Corporation or its

shareholders,  (ii)  for acts or  omissions  not in good  faith or that  involve

intentional  misconduct  or a knowing  violation  of law,  (iii)  under  section

302A.559 or 80A.23 of the  Minnesota  Statutes,  (iv) for any  transaction  from

which the director derived an improper personal  benefit,  or (v) for any act or

omission  occurring prior to the effective date of this Article VI. No amendment

to or  repeal  of this  Article  VI shall  apply to or have  any  effect  on the

liability or alleged  liability of any director of the  Corporation  for or with

respect  to any  acts or  omissions  of such  director  occurring  prior to such

amendment or repeal.

 

[As Filed: 02-07-2003]