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ROBERT E. OPERA State Bar No. 101182 WINTHROP COUCHOT PROFESSIONAL CORPORATION 660 Newport Center Drive, Fourth Floor Newport Beach, CA 92660 Telephone: (949) 720-4100 Facsimile: (949) 720-4111 Counsel for the Official Committee of Unsecured Creditors

FILED & ENTERED NOV 13 2008

CLERK U.S. BANKRUPTCY COURT Central District of California BY ngo DEPUTY CLERK

UNITED STATES BANKRUPTCY COURT CENTRAL DISTRICT OF CALIFORNIA SANTA ANA DIVISION

In re: MTI TECHNOLOGY CORPORATION, a Delaware corporation, Debtor and Debtor-in-Possession.

Case No. 8:07-13347-ES Chapter 11 Proceeding ORDER GRANTING MOTION OF OFFICIAL COMMITTEE OF UNSECURED CREDITORS FOR ORDER APPROVING COMPROMISE OF CONTROVERSY WITH CANOPY GROUP, INC. Date: October 14, 2008 Time: 10:30 A.M. Place: 5A 411 West Fourth Street Santa Ana, CA 92701

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The Court having read and considered the Motion for Order Approving Compromise of Controversy with Canopy Group, Inc. (Motion) filed by the Official Committee of Unsecured Creditors (Committee) appointed in the Chapter 11 case of Debtor MTI Technology Corporation (Debtor), and finding that the notice given to creditors and parties-in-interest of the hearing on the Motion was sufficient and complied with the requirements of the Federal Rules of Bankruptcy Procedure and the Local Bankruptcy Rules and that no opposition to the Motion was filed, and finding further that the compromise between the Committee and Canopy Group Inc., commemorated and confirmed by that Settlement Agreement and Mutual Release of Claims attached as Exhibit 1 to the Motion (Settlement Agreement) is reasonable and that approval of such compromise is in the best interests of the Debtor and the Debtors creditors, and other and good and sufficient cause appearing, IT IS HEREBY ORDERED that: 1. 2. 3. The Motion is hereby granted in its entirety. The Settlement Agreement is hereby approved in its entirety. The Debtor and the Committee are hereby authorized to execute any documents and to take any acts appropriate to effectuate the Settlement Agreement.

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DATED: November 13, 2008

4.

This Order shall be effective and enforceable upon the entry of this Order, without any need for any further notice to any creditors or professionals or any hearing hereon. ************

SUBMITTED BY: WINTHROP COUCHOT PROFESSIONAL CORPORATION

By: /s/ Robert E. Opera_____________ Robert E. Opera Counsel for the Official Committee of Unsecured Creditors

SNELL & WILMER, LLP

By: /s/ Michael R. Johnson___________ Michael R. Johnson, Esq. Attorneys for Canopy Group, Inc. ###

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United States Bankruptcy Judge

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CERTIFICATE OF SERVICE I, Linda Orona, declare as follows: I am employed in the County of Orange, State of California; I am over the age of eighteen years and am not a party to this action; my business address is 660 Newport Center Drive, 4th Floor, Newport Beach, California 92660, in said County and State. On October 16, 2008 I served the following document: ORDER ON MOTION OF OFFICIAL COMMITTEE OF UNSECURED CREDITORS FOR ORDER APPROVING COMPROMISE OF CONTROVERSY WITH CANOPY GROUP, INC. on each of the interested parties as follows: Debtors Counsel Clarkson, Gore & Marsella, SPLC Scott C Clarkson, Esq. 3424 Carson St Ste 350 Torrance, CA 90503 The Canopy Group 11/2/07 RSN c/o Snell & Wilmer Michael B. Reynolds, Esq. Eric S. Pezold 600 Anton blvd., #1400 Costa Mesa, CA 92626 U.S. Trustees Office Frank Cadigan, Esq. 411 West Fourth Street, #9041 Santa Ana, CA 92701 The Canopy Group Snell & Wilmer LLP Michael R. Johnson, Esq. Gateway Tower West 15 West South Temple, Suite 1200 Salt Lake City, UT 84101

by the following means of service: BY MAIL: I placed a true copy in a sealed envelope addressed as indicated above, on the above-mentioned date. I am familiar with the firm's practice of collection and processing correspondence for mailing. Under that practice it would be deposited with the U.S. Postal Service on that same date with postage thereon fully prepaid at Newport Beach, California in the ordinary course of business I am aware that on motion of party served, service is presumed invalid if postal cancellation date or postage meter date is more than one day after date of deposit for mailing in affidavit. I am employed in the office of Winthrop Couchot Professional Corporation; Robert E. Opera is a member of the bar of this court. (STATE) (FEDERAL) I declare under penalty of perjury under the laws of the State of California that the foregoing is true and correct. I declare under penalty of perjury that the foregoing is true and correct.

Executed on October 16, 2008. /s/ Linda Orona Linda Onora

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SERVICE LIST FOR ENTERED ORDER Notice is given by the Court that a judgment or order entitled: ORDER GRANTING MOTION OF OFFICIAL COMMITTEE OF UNSECURED CREDITORS FOR ORDER APPROVING COMPROMISE OF CONTROVERSY WITH CANOPY GROUP, INC. was entered on the date indicated as Entered on the first page of this judgment or order and will be served in the manner indicated below: TO BE SERVED BY THE COURT VIA NOTICE OF ELECTRONIC FILING (NEF): Pursuant to controlling General Order(s) and Local Bankruptcy Rule(s), the foregoing document will be served on the following person(s) by the Court via NEF and hyperlink to the judgment or order. As of ________________, the following person(s) are currently on the Electronic Mail Notice List for this bankruptcy case or adversary proceeding to receive NEF transmission at the e-mail address(es) indicated below: Debtors Counsel 3424 Carson St Ste 350 Torrance, CA 90503 The Canopy Group c/o Snell & Wilmer Michael B. Reynolds, Esq. Eric S. Pezold 600 Anton blvd., #1400 Costa Mesa, CA 92626 U.S. Trustees Office Frank Cadigan, Esq. 411 West Fourth Street, #9041 Santa Ana, CA 92701 The Canopy Group Snell & Wilmer LLP Michael R. Johnson, Esq. Gateway Tower West 15 West South Temple, Suite 1200 Salt Lake City, UT 84101

Service information continued on next page SERVED BY THE COURT VIA U.S. MAIL: A copy of this notice and a true copy of this judgment or order was sent by U.S. Mail to the following person(s) and/or entity(ies) at the address(es) indicated below:

Service information continued on next page TO BE SERVED BY THE LODGING PARTY: Within 72 hours after receipt of a copy of this judgment or order which bears an Entered stamp, the party lodging the judgment or order will serve a complete copy bearing an Entered stamp by U.S. Mail, overnight mail, facsimile transmission or e-mail on the following person(s) and/or entity(ies) at the address(es), facsimile transmission number(s) and/or e-mail address(es) indicated below:

Service information continued on next page

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CERTIFICATE OF NOTICE
District/off: 0973-8 Case: 07-13347 User: admin Form ID: pdf031 Page 1 of 2 Total Served: 32 Date Rcvd: Nov 13, 2008 The following entities were served by first class mail on Nov 15, 2008. db +MTI Technology Corporation, 15641 Red Hill Avenue, Suite 200, Tustin, CA 92780-7323 aty +Brian T Harvey, Buchalter Nemer, 1000 Wilshire Blvd Ste 1500, Los Angeles, CA 90017-1730 aty +Clarkson, Gore & Marsella, APLC, 3424 Carson St Ste 350, Torrance, CA 90503-5716 aty +Eve A Marsella, 3424 Carson St Ste 350, Torrance, CA 90503-5716 aty +Gilbert B Weisman, ll, Becket & Lee LLP, 16 General Warren Blvd, POB 3001, Malvern, PA 19355-0701 aty +Ivan L Kallick, 11355 W Olympic Blvd, Los Angeles, CA 90064-1631 aty +Lesley A Hawes, 444 S Flower St 8th Fl, Los Angeles, CA 90071-2901 aty +Manatt Phelps & Phil, 11355 W Olympic Blvd, Los Angeles, CA 90064-1631 aty +Mark A Shaiken, 1201 Walnut St Ste 2700, Kansas City, MO 64106-2139 aty +Michael B Reynolds, Snell & Wilmer LLP, 600 Anton Blvd Ste 1400, Costa Mesa, CA 92626-7689 aty +Patricia B Tomasco, 111 Congress Ste 1400, Austin, Tx 78701-4093 aty +Richard H Golubow, Winthrop Couchot, 660 Newport Center Drive Ste 400, Newport Beach, CA 92660-6427 aty +Robert E Opera, 660 Newport Center Dr Ste 400, Newport Beach, CA 92660-6427 aty +Robert L Eisenbach, III, 101 Califonia St 5th Fl, San Francisco, CA 94111-5800 aty +Scott C Clarkson, 3424 Carson St Ste 350, Torrance, CA 90503-5716 aty +Sharon Z Weiss, Richardson & Patel LLP, Murdock Plaza, 10900 Wilshire Blvd Ste 500, Los Angeles, CA 90024-6533 aty Sheryl L. Moreau, Missouri Dept of Revenue, General Counsels Office, 301 W High St Rm 670, POB 475, Jefferson City, MO 65105-0475 ust +United States Trustee (SA), 411 W Fourth St., Suite 9041, Santa Ana, CA 92701-8000 cr AM-PM, Inc. dba Aries Internet Services, Inc., c/o Weinstein, Weiss & Ordubegian, LLP, 1925 Century Park East Ste 1150, Los Angeles, CA 90067-2712 cr American Express Travel Related Svcs Co Inc Corp C, C/O Becket & Lee LLP, PO Box 3001, Malvern, PA 19355-0701 cr +Bowne Of Los Angeles, Inc., c/o Bronwen Price attn Gail Price, 2600 Mission St Ste 206, San Marino, CA 91108-1676 cr +Fusionware Corp, c/o William Lawrence, CFO, 5605 NE Elam Young Pkwy, Hillsboro, OR 97124-6454 cr +IBM CORP, ATTN: VICKY NAMKEN, 13800 DIPLOMAT, DALLAS, TX 75234-8812 cr +Iron mountain Information Management Inc, C/O R Frederick Linfesty, 745 Atlantic Ave 10th floor, Boston, MA 02111-2735 cr Missouri Department of Revenue, c/o Bankruptcy Unit, Attn Sheryl L Moreau, POB 475, Jefferson City, MO 65105-0475 cr +Office of Unemployment Compensation Tax Services (, Department of Labor and Industry, Commonwealth of Pennsylvania, 333 Market St 16th Fl, Harrisburg, PA 17101-2234 cr +Primeshares, Attn: RVS, 261 Fifth Avenue 22nd Flr, New York, NY 10016-7701 acc +Squar Milner Peterson Miranda & Williamson LLP, 4100 Newport Pl Ste 300, Newport Beach, CA 92660-1400 cr +Tennessee Department of Revenue, c/o TN Attorney Generals Office, PO Box 20207, Nashville, TN 37202-4015 cr +The Collective Group, LLC, c/o Patricia B. Tomasco, Brown McCarroll, L.L.P., 111 Congress Avenue, Suite 1400, Austin, TX 78701-4093 op +Winthrop Couchot, PC, 660 Newport Center Drive, Ste 400, Newport Beach, CA 92660-6427 The following entities were served by electronic transmission on Nov 14, 2008. aty +E-mail/Text: KLIPPMAN@MUNSCH.COM Kevin M Lippman, Munsch Hardt Kopf & Harr, PC, 3800 Lincoln Plaza, 500 N Akard St, Dallas, TX 75201-3302 TOTAL: 1 cr auc intp fa cr cr cr crcm cr acc intp cr ***** BYPASSED RECIPIENTS (undeliverable, * duplicate) ***** CH Realty IV/Royal Centre, LLC CMA Business Credit Services Copper Holdings LLC Corporate Recovery Associates Dell Financial Services, L.L.C. Frank Parsons Paper Company, Inc International Business Machines Corp. Official Committee of Unsecured Creditors Rockwell Collins, Inc Squar, Milner, Peterson, Miranda & Williamson, LLP The Canopy Group, Inc Verizon Business Global LLC TOTALS: 12, * 0 Addresses marked + were corrected by inserting the ZIP or replacing an incorrect ZIP. USPS regulations require that automation-compatible mail display the correct ZIP.

District/off: 0973-8 Case: 07-13347

User: admin Form ID: pdf031

Page 2 of 2 Total Served: 32

Date Rcvd: Nov 13, 2008

***** BYPASSED RECIPIENTS (continued) *****

I, Joseph Speetjens, declare under the penalty of perjury that I have served the attached document on the above listed entities in the manner shown, and prepared the Certificate of Notice and that it is true and correct to the best of my information and belief. Meeting of Creditor Notices only (Official Form 9): Pursuant to Fed. R. Bank. P. 2002(a)(1), a notice containing the complete Social Security Number (SSN) of the debtor(s) was furnished to all parties listed. This official court copy contains the redacted SSN as required by the bankruptcy rules and the Judiciarys privacy policies.

Date: Nov 15, 2008

Signature: