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DEF 14A
QLOGIC CORP filed this Form DEF 14A on 07/23/1996
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<PAGE>   1
 
                            SCHEDULE 14A INFORMATION
 
          PROXY STATEMENT PURSUANT TO SECTION 14(A) OF THE SECURITIES
                    EXCHANGE ACT OF 1934 (AMENDMENT NO.   )
 
Filed by the Registrant /X/
 
Filed by a Party other than the Registrant / /
 
Check the appropriate box:
 

<TABLE>
<S>                                     <C>
/ /  Preliminary Proxy Statement        / /  Confidential, for Use of the Commission
/X/  Definitive Proxy Statement              Only (as permitted by Rule 14a-6(e)(2))
/ /  Definitive Additional Materials
/ /  Soliciting Material Pursuant to sec.240.14a-11(c) or sec.240.14a-12

</TABLE>

 
                               QLOGIC CORPORATION
- --------------------------------------------------------------------------------
                (Name of Registrant as Specified In Its Charter)
 
- --------------------------------------------------------------------------------
    (Name of Person(s) Filing Proxy Statement, if other than the Registrant)
 
Payment of Filing Fee (Check the appropriate box):
 
/X/  $125 per Exchange Act Rules 0-11(c)(1)(ii), or 14a-6(i)(1), or 14a-6(i)(2)
     or Item 22(a)(2) of Schedule 14A.
 
/ /  $500 per each party to the controversy pursuant to Exchange Act Rule
     14a-6(i)(3).
 
/ /  Fee computed on table below per Exchange Act Rules 14a-6(i)(4) and 0-11.
 
     (1)  Title of each class of securities to which transaction applies:
 
          ----------------------------------------------------------------------
 
     (2)  Aggregate number of securities to which transaction applies:
 
          ----------------------------------------------------------------------
 
     (3)  Per unit price or other underlying value of transaction computed
          pursuant to Exchange Act Rule 0-11 (Set forth the amount on which the
          filing fee is calculated and state how it was determined):
 
          ----------------------------------------------------------------------
 
     (4)  Proposed maximum aggregate value of transaction:
 
          ----------------------------------------------------------------------
 
     (5)  Total fee paid:
 
          ----------------------------------------------------------------------
 
/ /  Fee paid previously with preliminary materials.
 
/ /  Check box if any part of the fee is offset as provided by Exchange Act Rule
     0-11(a)(2) and identify the filing for which the offsetting fee was paid
     previously. Identify the previous filing by registration statement number,
     or the Form or Schedule and the date of its filing.
 
     (1)  Amount Previously Paid:
 
          ----------------------------------------------------------------------
 
     (2)  Form, Schedule or Registration Statement No.:
 
          ----------------------------------------------------------------------
 
     (3)  Filing Party:
 
         -----------------------------------------------------------------------
 
     (4)  Date Filed:
 
          ----------------------------------------------------------------------

<PAGE>   2
 
                               QLOGIC CORPORATION
                             3545 HARBOR BOULEVARD
                          COSTA MESA, CALIFORNIA 92626
                                 (714) 438-2200
 

                    NOTICE OF ANNUAL MEETING OF STOCKHOLDERS
 
                         TO BE HELD ON AUGUST 20, 1996
 
To the Stockholders of QLOGIC CORPORATION:
 
     You are cordially invited to attend the Annual Meeting of Stockholders of
QLogic Corporation, a Delaware corporation (the "Company"), which will be held
at the Hyatt Regency Irvine Hotel, 17900 Jamboree Road, Irvine, California, at
10:00 a.m., California time, on Tuesday, August 20, 1996, to consider and act
upon the following matters, all as more fully described in the accompanying
Proxy Statement which is incorporated herein by this reference:
 
          1. To elect a board of five directors to serve until the next annual
     meeting of the Company's stockholders and until their successors have been
     elected and qualify;
 
          2. To consider and take action concerning approval of amendments of
     the Company's Non-Employee Director Stock Option Plan (a copy of which, as
     amended, is included as Appendix A to the accompanying Proxy Statement)
     which extend the termination date of the plan by five years to December 31,
     2001, increase the number of shares of common stock subject to the Plan by
     75,000, provide for initial grants to new directors of options to purchase
     8,000 shares of common stock, provide for annual grants to each
     non-employee director (other than the chairman of the board) of options to
     purchase 3,000 shares of common stock, and provide for annual grants to the
     chairman of the board of options to purchase 5,000 shares of common stock;
 
          3. To ratify the selection of KPMG Peat Marwick LLP as the Company's
     independent public accountants for fiscal year 1997; and
 
          4. To transact such other business as may properly come before the
     meeting or any adjournment thereof.
 
     Stockholders of record of the Company's common stock at the close of
business on July 12, 1996, the record date fixed by the Board of Directors, are
entitled to notice of, and to vote at, the meeting.
 
     THOSE WHO CANNOT ATTEND ARE URGED TO SIGN, DATE, AND OTHERWISE COMPLETE THE
ENCLOSED PROXY AND RETURN IT PROMPTLY IN THE ENCLOSED ENVELOPE. ANY STOCKHOLDER
GIVING A PROXY HAS THE RIGHT TO REVOKE IT ANY TIME BEFORE IT IS VOTED.
 
                                          BY ORDER OF THE BOARD OF DIRECTORS
 
                                          Michael R. Manning
                                          Secretary
Costa Mesa, California
J
uly 22, 1996

<PAGE>   3
 
                               QLOGIC CORPORATION
                             3545 HARBOR BOULEVARD
                          COSTA MESA, CALIFORNIA 92626
                                 (714) 438-2200
 
                            ------------------------
 
                                PROXY STATEMENT
 
                            ------------------------
 
                   APPROXIMATE DATE PROXY MATERIAL FIRST SENT
                         TO STOCKHOLDERS: JULY 22, 1996
 
     The following information is in connection with the solicitation of proxies
for the Annual Meeting of Stockholders of QLogic Corporation, a Delaware
corporation (the "Company"), to be held at the Hyatt Regency Irvine Hotel, 17900
Jamboree Road, Irvine, California, at 10:00 a.m., California time, on Tuesday,
August 20, 1996, and adjournments thereof (the "Meeting"), for the purposes
stated in the Notice of Annual Meeting of Stockholders preceding this Proxy
Statement.
 
                     SOLICITATION AND REVOCATION OF PROXIES
 
     A form of proxy is being furnished herewith by the Company to each
stockholder and, in each case, is solicited on behalf of the Board of Directors
of the Company for use at the Meeting. The entire cost of soliciting these
proxies will be borne by the Company. The Company may pay persons holding shares
in their names or the names of their nominees for the benefit of others, such as
brokerage firms, banks, depositaries, and other fiduciaries, for costs incurred
in forwarding soliciting materials to their principals. In that connection, the
Company has retained Corporate Investor Communications Incorporated, New York,
New York, to deliver soliciting materials to such record holders for
distribution by them to their principals and to assist the Company in collecting
proxies from such holders. The cost of these services, excluding out-of-pocket
expenses, is not expected to exceed $4,000. Members of the Management of the
Company may also solicit some stockholders in person, or by telephone, telegraph
or telecopy, following solicitation by this Proxy Statement, but will not be
separately compensated for such solicitation services.
 
     Proxies duly executed and returned by stockholders and received by the
Company before the Meeting will be voted FOR the election of all five of the
nominee-directors specified herein, FOR approval of the amendment of the QLogic
Corporation Non-Employee Director Stock Option Plan (the "Director Plan"), and
FOR the ratification of the selection of KPMG Peat Marwick LLP as the Company's
independent public accountants for fiscal year 1997, unless a contrary choice is
specified in the proxy. Where a specification is indicated as provided in the
proxy, the shares represented by the proxy will be voted and cast in accordance
with the specification made. As to other matters, if any, to be voted upon, the
persons designated as proxies will take such actions as they, in their
discretion, may deem advisable. The persons named as proxies were selected by
the Board of Directors of the Company and each of them is a director of the
Company.
 
     Under the Company's bylaws and Delaware law, shares represented by proxies
that reflect abstentions or "broker non-votes" (i.e., shares held by a broker or
nominee which are represented at the Meeting, but with respect to which such
broker or nominee is not empowered to vote on a particular proposal) will be
counted as shares that are present and entitled to vote for purposes of
determining the presence of a quorum. Any shares represented at the Meeting but
not voted (whether by abstention, broker non-vote or otherwise) will have no
impact in the election of directors, except to the extent that the failure to
vote for an individual results in another individual receiving a larger
proportion of votes. Any shares represented at the Meeting but not voted
(whether by abstention, broker non-vote or otherwise) with respect to the
proposal to approve amendment of the Director Plan or the proposal to ratify the
selection of KPMG Peat Marwick LLP will have no effect on

<PAGE>   4
 
the vote for any of such proposals except to the extent the number of
abstentions causes the number of shares voted in favor of a proposal not to
equal or exceed a majority of the quorum required for the Meeting (in which case
the proposal would not be approved).
 
     Your execution of the enclosed proxy will not affect your right as a
stockholder to attend the Meeting and to vote in person. Any stockholder giving
a proxy has the right to revoke it at any time by either (i) a later-dated
proxy, (ii) a written revocation sent to and received by the Secretary of the
Company prior to the Meeting, or (c) attendance at the Meeting and voting in
person.
 

                  VOTING SECURITIES AND PRINCIPAL STOCKHOLDERS
 
     The Company has outstanding only common stock, of which 5,625,662 shares
were outstanding as of the close of business on July 12, 1996 (the "Record
Date"). Only stockholders of record on the books of the Company at the close of
business on the Record Date will be entitled to vote at the Meeting. Each share
of common stock is entitled to one vote.
 
     Representation at the Meeting by the holders of a majority of the
outstanding common stock of the Company, either by personal attendance or by
proxy, will constitute a quorum.
 
     The following table sets forth, as of the Record Date, the only persons
known to the Company to be the beneficial owners of more than 5% of the
Company's common stock:
 

<TABLE>
<CAPTION>
 
                                              AMOUNT AND NATURE OF
  TITLE OF           NAME AND ADDRESS               BENEFICIAL          PERCENT OF
    CLASS           OF BENEFICIAL OWNER            OWNERSHIP(1)          CLASS(2)
- -------------   ---------------------------   ----------------------    -----------
<S>             <C>                           <C>                       <C>
Common Stock    Fred B. Cox                        287,500 shs.             5.1(3)
                P.O. Box 237
                Big Arm, Montana 59910
Common Stock    Brinson Partners Inc.            350,500 shs.(4)            6.1
                Three First National Plaza
                Ninth Floor
                Chicago, Illinois 60670
</TABLE>

 
- ---------------
 
(1) Except as otherwise indicated and subject to applicable community property
    and similar laws, the Company assumes that each named person has the sole
    voting and investment power with respect to his or its shares (other than
    shares subject to options).
 
(2) Percent of class is based on the number of shares outstanding on the Record
    Date plus, with respect to each named person, the number of shares of common
    stock, if any, which the stockholder has the right to acquire within 60 days
    of such date.
 
(3) All shares attributed to Mr. Cox are held in a family trust of which Mr. Cox
    and his wife are co-trustees and share voting and investment power. Includes
    options to purchase 12,500 shares of the Company's common stock.
 
(4) The beneficial owner has informed the Company that (i) these shares are
    beneficially owned in the capacity of an investment adviser registered under
    the Investment Advisers Act of 1940, (ii) voting power is exercised pursuant
    to investment management contracts, and (iii) no single client of the
    adviser owns more than 5% of the Company's common stock.
 
     The Company knows of no contractual arrangements which may at a subsequent
date result in a change in control of the Company.
 
                                        2

<PAGE>   5
 

                         STOCK OWNERSHIP OF MANAGEMENT
 
     The following table sets forth certain information regarding the shares of
the Company's common stock beneficially owned as of the Record Date by all
directors, nominees, executive officers identified in the Summary Compensation
Table below, all executive officers of the Company, and all current directors
and executive officers of the Company as a group:
 

<TABLE>
<CAPTION>
 
                                                            AMOUNT AND
                                                             NATURE OF
  TITLE OF                                                   BENEFICIAL          PERCENT
    CLASS                NAME OF BENEFICIAL OWNER           OWNERSHIP(1)       OF CLASS(2)
- -------------      -------------------------------------    ------------       -----------
<S>                <C>                                      <C>                <C>
Common
  Stock......      Gary E. Liebl                                15,500(3)             *
Common
  Stock......      James A. Bixby                                8,333(4)             *
Common
  Stock......      H.K. Desai                                   30,000(5)             *
Common
  Stock......      Carol L. Miltner                              8,333(4)             *
Common
  Stock......      George D. Wells                               8,333(4)             *
Common
  Stock......      Thomas R. Anderson                           26,453(6)             *
Common
  Stock......      David Tovey                                  18,562(7)             *
Common
  Stock......      Michael Manning                              32,987(8)             *
Common
  Stock......      Melvin G. Gable(9)                              -0-                *
Common
  Stock......      Joseph F. Pleso(10)                             -0-                *
                   All current directors and executive
                     officers as a group (8 persons)           148,501              2.6%
</TABLE>

 
- ---------------
 
 (1) Except as otherwise indicated and subject to applicable community property
     and similar laws, the Company assumes that each named person has the sole
     voting and investment power with respect to his or her shares (other than
     shares subject to options).
 
 (2) Percent of class is based on the number of shares outstanding on the Record
     Date plus, with respect to each named person, the number of shares of
     common stock, if any, which the stockholder has the right to acquire within
     60 days of such date. Ownership of less than 1% is indicated by an
     asterisk.
 
 (3) Includes 12,500 shares which may be purchased pursuant to stock options
     which are currently, or within the next 60 days, will be, exercisable.
 
 (4) Consists entirely of shares which may be purchased pursuant to stock
     options which are currently, or within the next 60 days will be,
     exercisable.
 
 (5) Includes 25,000 shares which may be purchased pursuant to stock options
     which are currently, or within the next 60 days, will be, exercisable.
 
 (6) Includes 21,953 shares which may be purchased pursuant to stock options
     which are currently, or within the next 60 days, will be, exercisable.
 
 (7) Includes 14,062 shares which may be purchased pursuant to stock options
     which are currently, or within the next 60 days, will be, exercisable.
 
 (8) Includes 18,686 shares which may be purchased pursuant to stock options
     which are currently, or within the next 60 days, will be, exercisable.
 
 (9) Mr. Gable resigned as a director, and as President and Chief Executive
     Officer, of the Company effective June 7, 1995.
 
(10) Mr. Pleso was appointed interim President and Chief Executive Officer of
     the Company effective June 7, 1995 and resigned in such capacities
     effective October 10, 1995.
 
                      NOMINATION AND ELECTION OF DIRECTORS
 
     The Company's directors are to be elected at each annual meeting of
stockholders. At this Meeting, five directors are to be elected to serve until
the next annual meeting of stockholders and until their successors are elected
and qualify. The nominees for election as directors at this Meeting set forth in
the table below are all
 
                                        3

<PAGE>   6
 
recommended by the Board of Directors of the Company. Each of the nominated
directors other than Mr. Desai was elected as a director of the Company at the
Company's 1995 Annual Meeting of Stockholders. Mr. Desai was appointed as a
director in January 1996.
 
     In the event that any of the nominees for director should become unable to
serve if elected, it is intended that shares represented by proxies which are
executed and returned will be voted for such substitute nominee(s) as may be
recommended by the Company's existing Board of Directors.
 
     The five nominee-directors receiving the highest number of votes cast at
the Meeting will be elected as the Company's directors to serve until the next
annual meeting of stockholders and until their successors are elected and
qualify. Subject to certain exceptions specified below, stockholders of record
on the Record Date are entitled to cumulate their votes in the election of the
Company's directors (i.e., they are entitled to the number of votes determined
by multiplying the number of shares held by them times the number of directors
to be elected) and may cast all of their votes so determined for one person, or
spread their votes among two or more persons as they see fit. No stockholder
shall be entitled to cumulate votes for a given candidate for director unless
such candidate's name has been placed in nomination prior to the vote and the
stockholder has given notice at the Meeting, prior to the voting, of the
stockholder's intention to cumulate his or her votes. If any one stockholder has
given such notice, all stockholders may cumulate their votes for candidates in
nomination. Discretionary authority to cumulate votes is hereby solicited by the
Board of Directors.
 
     The Company's By-laws provide that only persons who are nominated in
accordance with specified By-law procedures shall be eligible for election as
directors. Nominations of persons for election to the Board of Directors may be
made at a meeting of stockholders by or at the direction of the Board of
Directors or by any stockholder entitled to vote for the election of directors
who complies with certain notice procedures set forth in the By-laws. Such
nominations must be made by written notice to the Secretary of the Company and
must be delivered or mailed and received at the principal executive offices of
the Company not less than 60 days or more than 90 days prior to the date of the
meeting. In the event that the first public disclosure of the date of the
meeting is made less than 70 days prior to the date of the meeting, notice by
the stockholder will be timely if received not later than the close of business
on the tenth day following the day on which such public disclosure was first
made. The stockholder's notice must set forth certain information concerning the
proposed nominee and the stockholder giving notice, as set forth in the By-laws.
 
     The following table sets forth certain information concerning the nominees
for election as directors (all of such nominees being continuing members of the
Company's present Board of Directors):
 

<TABLE>
<CAPTION>
     NOMINEE(1)                   PRINCIPAL OCCUPATION              AGE
- --------------------    ----------------------------------------    ---
<S>                     <C>                                         <C>
Gary E. Liebl(2)        Vice Chairman of the Board, Artisoft,       54
                        Inc., a local area network company
James A. Bixby(2)       Chairman, President and Chief Executive     49
                        Officer of Brooktree Corporation, a
                        producer of integrated circuits
H.K. Desai              President and Chief Executive Officer of    50
                        the Company
Carol L. Miltner(3)     President, Motivation by Miltner, a         53
                        seminar and consulting business
George D. Wells(3)      President and Chief Executive Officer,      60
                        Exar Corporation, a manufacturer of
                        integrated circuits
</TABLE>

 
- ---------------
 
(1) The Company does not have a nominating committee of the Board of Directors.
    The nominees for election as directors at the Meeting were selected by the
    Board of Directors of the Company.
 
(2) Member of the audit committee of the Board of Directors of the Company,
    currently consisting of Mr. Bixby and Mr. Liebl, neither of whom is an
    employee of the Company. The audit committee held five meetings during
    fiscal year 1996. The audit committee reviews, acts on, and reports to the
    Board of Directors with respect to various auditing and accounting matters,
    including the selection of the Company's independent public accountants, the
    scope of the annual audits, the nature of nonaudit
 
                                        4

<PAGE>   7
 
    services, fees to be paid to the independent public accountants, the
    performance of the Company's independent public accountants, and the
    accounting practices of the Company.
 
(3) Member of the compensation committee of the Board of Directors of the
    Company, currently consisting of two directors, neither of whom is an
    employee of the Company. The compensation committee held five meetings
    during fiscal year 1996. The compensation committee reviews the performance
    of the executive officers of the Company and its subsidiary and reviews the
    compensation programs for other key employees, including salary and cash
    incentive payment levels and option grants under the QLogic Corporation
    Stock Awards Plan.
 
     Mr. Liebl has been a director and Chairman of the Board of the Company
since its formation in February 1994. He is Vice Chairman of the Board of
Directors of Artisoft, Inc., a local area network company. Beginning in October
1985, Mr. Liebl held senior management positions, including Chairman of the
Board and Chief Executive Officer, at Cipher Data Products, Inc., a supplier of
tape and optical disk drives to the computer industry, until such corporation
was acquired by Archive Corporation in April 1990. Mr. Liebl also currently
serves as a director of Emulex Corporation, a supplier of computer and network
enhancement products and former parent corporation of the Company, and of
Smartflex Systems, Inc., a manufacturing services provider of sophisticated
electronics assemblies.
 
     Mr. Bixby became a director of the Company in February 1994. He is
Chairman, President, and Chief Executive Officer of Brooktree Corporation, a
producer of high-performance, mixed-signal integrated circuits. He has been an
officer of Brooktree Corporation since 1983. Before joining Brooktree, Mr. Bixby
was Director of Engineering at Spin Physics, a division of Eastman Kodak.
 
     Mr. Desai joined the Company in August 1995 as President and Chief
Technical Officer. He was subsequently promoted to President and Chief Executive
Officer in January 1996. From May 1995 to August 1995, he was Vice President,
Engineering (Systems Products) at Western Digital Corporation, a manufacturer of
disk drives. From July 1990 until May 1995, he served as Director, and
subsequently Vice President of Engineering at QLogic. From 1980 until joining
the Company in 1990, Mr. Desai was an Engineering Section Manager at Unisys
Corporation, a computer system manufacturer.
 
     Ms. Miltner became a director of the Company in February 1994. She is
President of Motivation by Miltner, a seminar and consulting business. From
December 1993 until March 1995, she served as Vice President of Sales and
Marketing of AmeriQuest Technologies, Inc., a subassembler of storage products
and distributor of microcomputer products. From July 1991 to December 1993 she
was President of Motivation by Miltner, a seminar and consulting business. From
April 1989 to July 1991, she was Senior Vice President -- Sales of Merisel, a
distributor of microcomputer products. For the previous four years, she was
Senior Vice President, Sales of Ingram Micro, a distributor of computer
products.
 
     Mr. Wells became a director of the Company in February 1994. He has been
President and Chief Executive Officer of Exar Corporation, a manufacturer of
analog and mixed-signal integrated circuits, since June 1992. He served as
President and Chief Operating Officer of LSI Logic Corporation, a manufacturer
of HCMOS and BiCMOS application-specific integrated circuits, for seven years
before joining Exar Corporation. Mr. Wells also serves as a director of Exar
Corporation, Pyramid Technology Corp., a manufacturer of mini-supercomputers,
and Micronics Computers, Inc., a manufacturer of high-performance system boards.
 
     There were nine meetings of the Board of Directors of the Company during
the last fiscal year of the Company. Each of the directors of the Company
attended 75% or more of the aggregate of the total number of meetings of the
Board of Directors held during the period in which he or she was a director and
the total number of meetings held by all committees of the Board of Directors on
which he or she served during such period.
 
                                        5

<PAGE>   8
 

COMPENSATION OF DIRECTORS
 
     Directors' Fees. For service on the Board of Directors, directors who are
not employees of the Company receive a quarterly retainer of $4,000 plus $1,000
for each meeting of the Board of Directors in excess of five per year, and
reimbursement for travel expenses. The Chairman of the Board of Directors
receives an additional fee of $1,000 per quarter. In addition, the chairmen of
the audit and compensation committees receive an additional quarterly retainer
of $500. Directors who are employees of the Company receive no additional
compensation for serving on the Board of Directors. Directors are entitled to
reimbursement for out-of-pocket expenses in connection with attendance at board
and committee meetings.
 
     Stock Options. On January 12, 1994, the Board of Directors of the Company
adopted the QLogic Corporation Non-Employee Director Stock Option Plan (the
"Director Plan") under which shares of common stock of the Company may be issued
pursuant to exercise of stock options granted under the plan to directors who
are not employees of the Company or any of its subsidiaries. The Director Plan
was approved by Emulex Corporation ("Emulex"), the former parent corporation and
sole stockholder of the Company, prior to the distribution of all of the
Company's outstanding common stock to the stockholders of Emulex on February 28,
1994 (the "Distribution"). A total of 125,000 shares of common stock have been
reserved for issuance under the Director Plan.
 
     The purpose of the Director Plan is to attract and retain experienced and
knowledgeable outside directors by providing them with an ownership interest in
the Company. Only non-employee directors of the Company are eligible to
participate in the Director Plan. Each non-employee director of the Company
received an automatic grant of an option to purchase 12,500 shares of Company
common stock upon the date on which such director first became an eligible
director. Upon completion of the Distribution, non-employee directors of the
Company (excluding Mr. Liebl and a director of the Company who subsequently
resigned from the Board, each of whom had previously received an option to
purchase Company common stock as a result of the conversion of options
previously granted to them under the Emulex Corporation Non-Employee Director
Stock Option Plan in connection with the Distribution) were granted options to
purchase 12,500 shares of Company common stock.
 
     Options granted under the Director Plan are non-qualified stock options not
eligible for the favorable tax consequences given to incentive stock options by
Section 422 of the Internal Revenue Code. The purchase price per share of the
Company common stock issuable upon exercise of the option shall be 100% of the
fair market value per share of such common stock on the date of grant. No option
granted under the Director Plan shall be exercisable after the expiration of the
earlier of (i) ten years following the date the option is granted or (ii) one
year following the date the optionee ceases to be a director of the Company for
any reason.
 
     An option granted under the Director Plan shall be exercisable when it is
granted as to one-third of the shares of common stock subject to the option on
each anniversary of the date the option is granted if the director to whom the
option is granted is still a director of the Company on such anniversary. In the
event of a change in control of the Company, as defined in the Director Plan,
any unexercised option previously granted under the Director Plan shall become
exercisable upon such change in control as to one half of the shares of common
stock as to which the option is not already exercisable in addition to the
shares of common stock, if any, as to which the option is already exercisable.
 
     As currently in effect and unless sooner terminated by the Board, the
Director Plan will expire on December 31, 1996. The Board may amend, modify or
terminate the Director Plan, but may not without the prior approval of
stockholders make any amendments which would (i) materially increase the
benefits accruing to directors under the Director Plan, (ii) increase the total
number of shares of common stock which may be issued under the Director Plan, or
(iii) materially modify the eligibility requirements to receive a stock option
grant under the Director Plan.
 
                                        6

<PAGE>   9
 
     In June 1996, the Director Plan was amended, subject to approval of the
stockholders of the Company, to (i) extend the termination date of the plan by
five years to December 31, 2001, (ii) increase the number of shares of common
stock subject to the Plan by 75,000, (iii) provide for initial grants to new
directors of options to purchase 8,000 shares of common stock and (iv) provide
for annual grants to each non-employee director (other than the chairman of the
board) of options to purchase 3,000 shares of common stock, and annual grants to
the chairman of the board of options to purchase 5,000 shares of common stock,
all as described below under "Amendment of the Non-Employee Director Stock
Option Plan."
 
     In March 1993, Mr. Liebl was granted an option to purchase 25,000 shares of
common stock of Emulex at a purchase price of $6.375, the fair market value of
the common stock of Emulex on the date of grant. As a result of the Distribution
and related transactions, Mr. Liebl's options were converted into options to
purchase 12,500 shares of the Company's common stock and 12,500 shares of
Emulex's common stock. The exercise price of Mr. Liebl's options to purchase
shares of the Company's common stock was adjusted in the Distribution to $8.56.
 
     Other Compensation. Gary E. Liebl was paid a total of $136,714 for
consulting services rendered to the Company at the request of the Board of
Directors in fiscal year 1996.
 
                                        7

<PAGE>   10
 
                  EXECUTIVE COMPENSATION AND OTHER INFORMATION
 
     The following table sets forth information concerning compensation of each
person who served as chief executive officer of the Company during the most
recent fiscal year and each other executive officer of the Company or its
subsidiary whose total annual salary and bonus exceeded $100,000 for the most
recent fiscal year:
 
                         SUMMARY COMPENSATION TABLE(1)
 

<TABLE>
<CAPTION>
                                                                                             LONG-TERM
                                                                                            COMPENSATION
                                                 ANNUAL COMPENSATION               ------------------------------
                                      ------------------------------------------      STOCK
         NAME AND                                                 OTHER ANNUAL        OPTION         ALL OTHER
    PRINCIPAL POSITION       YEAR      SALARY           BONUS    COMPENSATION(2)    GRANTS(3)     COMPENSATION(4)
- ---------------------------  ----     --------         -------   ---------------   ------------   ---------------
<S>                          <C>      <C>              <C>       <C>               <C>            <C>
H.K. Desai                   1994     $126,070             -0-          -0-                 -0-       $ 3,091
  President and CEO(5)       1995      139,534(7)       41,500          -0-         15,000 shs.         3,160
                             1996      167,009(7)       82,500          -0-        120,000 shs.         5,686
Melvin G. Gable              1994      190,953             -0-          -0-         75,000 shs.         5,344
  Former President and
    CEO(6)                   1995      226,583          63,000          -0-                 -0-         5,887
                             1996      168,117(7)(8)       -0-          -0-         30,000 shs.         1,685
Joseph F. Pleso              1994      195,236             -0-          -0-                 -0-         3,374
  Former Interim             1995      227,050             -0-          -0-         10,000 shs.         2,940
  President and CEO(6)       1996      188,751(7)(9)    20,000          -0-         12,500 shs.         3,980
Thomas R. Anderson           1994       98,274(7)          -0-          -0-         20,000 shs.           879
  V.P., Chief Financial
    Officer                  1995      144,544          31,500          -0-         10,000 shs.         4,625
                             1996      147,424          35,000          -0-          6,250 shs.         4,801
David Tovey                  1995      139,534(7)       41,500          -0-         25,000 shs.         3,160
  V.P. Marketing             1996      144,777          35,000          -0-          5,000 shs.         3,254
Michael Manning              1994      115,595             -0-          -0-                 -0-         3,798
  Treasurer and Secretary    1995      129,664          19,000          -0-          7,000 shs.         4,233
                             1996      123,221          23,000          -0-          6,500 shs.         4,028
</TABLE>

 
- ---------------
 
(1) The table includes compensation and stock option grants earned or received
    by each named individual during fiscal year 1994 as an employee of Emulex
    prior to the date of the Distribution as well as compensation paid by the
    Company subsequent to the Distribution.
 
(2) Except where indicated in the Summary Compensation Table, perquisites and
    other personal benefits did not in the aggregate equal or exceed the lesser
    of $50,000 for any named individual or 10% of the total of annual salary and
    bonus reported in this table for such person.
 
(3) The amounts in the table represent shares of the Company's common stock
    covered by stock options granted to the named individual under the QLogic
    Corporation Stock Awards Plan, as well as common stock covered by stock
    options granted to the named individual under the Emulex Employee Stock
    Option Plan which were converted into options to purchase Emulex common
    stock and Company common stock as a result of the Distribution.
 
(4) This column includes the Company's matching contributions to the Emulex
    Retirement Savings Plan prior to the Distribution and to the QLogic
    Corporation Retirement Savings Plan subsequent to the Distribution and group
    term life insurance premiums paid with respect to the named executive.
 
(5) Mr. Desai served as the Company's Vice President of Engineering from the
    time of the Distribution until his resignation on May 1, 1995. He was
    rehired on August 4, 1995 as President and Chief Technical Officer. Mr.
    Desai was subsequently appointed as the Company's President and Chief
    Executive Officer effective January 25, 1996.
 
(6) Mr. Gable resigned as a director and officer of the Company effective June
    7, 1995. Mr. Pleso, who was the Company's Vice President of Worldwide Sales,
    was appointed as interim President and Chief Executive Officer effective
    June 7, 1995. Mr. Pleso resigned as an officer of the Company effective
    October 10, 1995.
 
                                        8

<PAGE>   11
 
(7) The named executive officer was not an employee for the entire year for
    which compensation figures are provided.
 
(8) Includes $123,033 paid pursuant to the terms of a separation agreement
    between Mr. Gable and the Company.
 
(9) Includes $84,914 paid pursuant to the terms of a separation agreement
    between Mr. Pleso and the Company.
 
SEPARATION AGREEMENT
 
     Melvin Gable resigned as the Company's President and Chief Executive
Officer effective June 7, 1995. Pursuant to the terms of a separation agreement
with Mr. Gable, the Company agreed to provide Mr. Gable with aggregate gross
separation payments totalling $112,500 payable in equal bi-weekly installments
over the six month period ended December 7, 1995. The Company also paid for the
continued group health coverage of Mr. Gable and his dependents through December
7, 1995.
 
KEY EMPLOYEE RETENTION AGREEMENT
 
     The Company has previously entered into an agreement with Mr. Desai under
which Mr. Desai would be entitled to receive the following payments and benefits
in the event of termination of his employment by the Company without cause or by
Mr. Desai because of a demotion within two years after a change in control of
the Company: (i) a severance payment equal to the present value of two times the
sum of Mr. Desai's annual salary plus the highest annual average of any two of
his last three annual bonuses; (ii) continuation for two years following
termination of employment of his health, life insurance, disability income, tax
assistance, and executive automobile benefits (reduced to the extent similar
benefits are received by him from another employer); and (iii) acceleration of
vesting of his right to exercise his stock options based on the length of his
continued employment following the grant of the option by one year upon the
change in control of the Company and full acceleration of vesting of such
exercise right in the event of termination of his employment without cause or
because of a demotion as aforsesaid within two years after the change in
control.
 
OPTION GRANTS DURING FISCAL 1996
 
     The following table sets forth information on grants of stock options
pursuant to the QLogic Corporation Stock Awards Plan during the fiscal year
ended March 31, 1996, to the officers identified in the Summary Compensation
Table:
 
                              OPTION GRANTS TABLE
                       OPTION GRANTS IN FISCAL YEAR 1996
 

<TABLE>
<CAPTION>
                                                                                         POTENTIAL
                                                                                        REALIZABLE
                                                                                     VALUE AT ASSUMED
                                                                                      ANNUAL RATES OF
                                             % OF TOTAL                                 STOCK PRICE
                                               OPTIONS                               APPRECIATION FOR
                                             GRANTED TO                               OPTION TERM(4)
                                 OPTIONS      EMPLOYEES    EXERCISE    EXPIRATION   -------------------
               NAME             GRANTED(1)   IN 1996(2)    PRICE (3)      DATE         5%        10%
    --------------------------  ----------   -----------   ---------   ----------   --------   --------
    <S>                         <C>          <C>           <C>         <C>          <C>        <C>
    H.K. Desai................    100,000       25.10%       4.750         8/8/05   $298,725   $757,028
                                   20,000        5.02        7.250         2/1/06     91,379    231,682
    Melvin G. Gable(5)........     30,000        7.53        4.750         4/4/05     89,617    227,108
    Joseph F. Pleso(5)........     12,500        3.14        4.750         4/4/05     37,341     94,628
    Thomas R. Anderson........      6,250        1.57        4.750         4/4/05     18,670     47,314
    David Tovey...............      5,000        1.25        5.875       10/24/05     18,474     46,816
    Michael Manning...........      6,500        1.63        4.750         4/4/05     19,417     49,207
</TABLE>

 
- ---------------
 
(1) The amounts in the table represent shares of the Company's common stock
    covered by stock options granted to the named individual under the QLogic
    Corporation Stock Awards Plan. Each option becomes
 
                                        9

<PAGE>   12
 
    exercisable on a cumulative basis as to 25% of the option shares one year
    after the date of grant and as to an additional 6.25% of the option shares
    each three month interval thereafter.
 
(2) The number of shares of Company common stock covered by the options granted
    to the named individual during the last completed fiscal year of the Company
    equals the percentage set forth below of the total number of shares of the
    Company common stock covered by all options granted by the Company during
    such year.
 
(3) The exercise price of each option is the market price of the common stock of
    the Company on the date of grant.
 
(4) These columns present hypothetical future values of the stock obtainable
    upon exercise of the options net of the option's exercise price, assuming
    that the market price of the Company's common stock appreciates at a 5% and
    10% compound annual rate over the ten year term of the options. The 5% and
    10% rates of stock price appreciation are presented as examples pursuant to
    the Proxy Rules and do not necessarily reflect management's assessment of
    the Company's future stock price performance. The potential realizable
    values presented are not intended to indicate the value of the options.
 
(5) Mr. Gable resigned as a director and officer of the Company effective June
    7, 1995. Joseph F. Pleso, the Company's Vice President of Worldwide Sales
    was appointed as interim President and Chief Executive Officer effective
    June 7, 1995 and resigned effective October 10, 1995.
 
OPTION EXERCISES IN FISCAL 1996 AND YEAR-END OPTION VALUES
 
     The following table sets forth information concerning stock options which
were exercised during, or held at the end of, fiscal 1996 by the officers named
in the Summary Compensation Table:
 
                   OPTION EXERCISES AND YEAR-END VALUE TABLE
 

<TABLE>
<CAPTION>
                                                               NUMBER OF               VALUE OF UNEXERCISED
                                                          UNEXERCISED OPTIONS          IN-THE-MONEY OPTIONS
                               SHARES                     AT FISCAL YEAR END           AT FISCAL YEAR END(1)
                            ACQUIRED ON     VALUE     ---------------------------   ---------------------------
             NAME             EXERCISE     REALIZED   EXERCISABLE   UNEXERCISABLE   EXERCISABLE   UNEXERCISABLE
    ----------------------  ------------   --------   -----------   -------------   -----------   -------------
    <S>                     <C>            <C>        <C>           <C>             <C>           <C>
    H.K. Desai............        -0-          -0-          -0-        120,000        $   -0-       $ 430,000
    Melvin G. Gable(2)....        -0-          -0-          -0-            -0-            -0-             -0-
    Joseph F. Pleso(2)....      2,500        6,250          -0-            -0-            -0-             -0-
    Thomas R. Anderson....        -0-          -0-       16,250         20,000         27,406          56,944
    David Tovey...........        -0-          -0-       10,937         19,063         41,014          67,111
    Michael Manning.......        -0-          -0-       15,906         11,344         12,188          39,125
</TABLE>

 
- ---------------
 
(1) Valued at $8.75 per share.
 
(2) Mr. Gable resigned as a director and officer of the Company effective June
    7, 1995. Joseph F. Pleso was appointed as interim President and Chief
    Executive Officer effective June 7, 1995. Mr. Pleso resigned as an officer
    of the Company effective October 10, 1995.
 
C
OMPENSATION COMMITTEE INTERLOCKS AND INSIDER PARTICIPATION
 
     The current Compensation Committee of the Company consists of Mr. Wells and
Ms. Miltner, neither of whom is now, or was at any time during the last
completed fiscal year of the Company, an officer or employee of the Company.
During fiscal year 1996, no executive officer of the Company served as a member
of the Compensation Committee (or its equivalent) or as a director of any entity
whose executive officers served on either the Compensation Committee or the
Board of Directors of the Company.
 
REPORT OF EXECUTIVE COMPENSATION COMMITTEE
 
     The Compensation Committee of the Board of Directors makes this report on
executive compensation pursuant to Item 402 of Regulation S-K. Notwithstanding
anything to the contrary set forth in any of the Company's previous filings
under the Securities Act of 1933, as amended, or the Securities Exchange Act of
 
                                       10

<PAGE>   13
 
1934, as amended (the "Exchange Act"), that might incorporate future filings,
including this Proxy Statement, in whole or in part, this report and the graph
which follows this report shall not be incorporated by reference into any such
filings, and such information shall be entitled to the benefits provided in Item
402(a)(9).
 
     The Compensation Committee reviews the performance of the executives of the
Company, makes recommendations to the Board of Directors as to the compensation
of the executives of the Company and its subsidiaries and reviews the
compensation programs for other key employees, including salary and cash
incentive payment levels and stock awards under the QLogic Corporation Stock
Awards Plan.
 
     Compensation Policies and Philosophy. The Company's executive compensation
policies are designed to attract, retain and reward executives who contribute to
the Company's success, to provide economic incentives for executives to achieve
the Company's business objectives by linking the executives' compensation to the
performance of the Company, to strengthen the relationship between executive pay
and stockholder value and to reward individual performance. The Company uses a
combination of base salary, cash incentive payments and stock awards to achieve
the aforementioned objectives.
 
     In carrying out these objectives, the Compensation Committee considers a
number of factors which include the level and types of compensation paid to
executives in similar positions by comparable companies. In addition, the
Compensation Committee evaluates corporate performance by looking at factors
such as performance relative to competitors, performance relative to business
conditions, and the success of the Company in meeting its financial objectives.
The Compensation Committee also reviews the individual performance of each
executive, including a review of the ability of a given executive to meet
individual performance objectives, demonstration of job knowledge and skills,
and the ability to work with others toward the achievement of the Company's
goals.
 
     Components of Compensation. Executives' salaries are established in
relation to a range of salaries for comparable positions among a peer group of
other computer companies of comparable size and complexity. The Company seeks to
pay its executives salaries that are commensurate with the qualifications,
duties and responsibilities and that are competitive in the marketplace. In
general, the Company attempts to set executive compensation between the 50th and
75th percentile of salaries paid to executives of the Company's peer group of
corporations. In making its annual salary recommendations, the Compensation
Committee looks at the Company's financial position and performance, the
contribution of the individual executive during the prior fiscal year in helping
to meet the Company's financial and business objectives as well as the
executives' performance of their individual responsibilities.
 
     Executives' annual cash incentive payments are used to provide executives
with financial incentives to meet annual performance targets of the Company or
its operating divisions. Performance targets and cash incentive payment
recommendations for executives other than principal executives are proposed by
the management of the Company's principal operating divisions, reviewed and,
when appropriate, revised by the Compensation Committee and approved by the
Board of Directors. Personal goals and cash incentive payment recommendations
for the principal executives of the Company are recommended by the Compensation
Committee and approved by the Board.
 
     The Compensation Committee believes that equity ownership by executives
provides incentives to build stockholder value and align the interests of
executives with the stockholders. Upon hiring executives, the Compensation
Committee typically recommends stock option or stock awards grants to the
officers under the QLogic Corporation Stock Awards Plan, subject to applicable
vesting periods. Thereafter, the Compensation Committee periodically considers
awarding additional grants under the QLogic Corporation Stock Awards Plan. The
Compensation Committee believes that these additional grants provide incentives
for executives to remain with the Company. Stock options and awards generally
have value only if the price of the Company's common stock increases over the
exercise or grant price. The size of options or awards is usually based upon
factors such as comparable equity compensation offered by other computer
companies, the seniority of the executive and the contribution that the
executive is expected to make to the Company. In determining the size of the
periodic grants, the Compensation Committee considers prior grants to the
executive, the executive's
 
                                       11

<PAGE>   14
 
performance during the current fiscal year and his or her expected contributions
during the succeeding fiscal year.
 
     Compensation of the Principal Executive Officer. The Compensation Committee
reviews the performance of the principal executive officer of the Company, as
well as other executives of the Company and its subsidiaries, annually. H.K.
Desai was appointed as the Company's President and Chief Executive Officer
effective January 25, 1996, after serving as President and Chief Technical
Officer from August 4, 1995. As the principal executive officer of the Company,
Mr. Desai's compensation was determined based on a consideration of the various
factors discussed above, including the performance of the Company, the
individual performance of Mr. Desai, a review of the compensation packages of
executives in computer industry companies similar in size and complexity to the
Company, and Mr. Desai's performance compared to various objective and
subjective goals established by the Board of Directors. It is the practice of
the Board of Directors to set performance goals at the commencement of a fiscal
year, to give a performance appraisal to the Chief Executive Officer at the end
of the fiscal year, and to set payment of incentive payments based on the Chief
Executive's performance as measured against such objectives. As the principal
executive officer of the Company during a portion of fiscal year 1996, Mr.
Gable's compensation was determined based on a consideration of the various
factors discussed above. Mr. Gable resigned as a director and officer of the
Company effective June 7, 1995.
 
                                          Respectfully submitted,
 
                                          Compensation Committee:
 
                                          George D. Wells
                                          Carol L. Miltner
 
                                       12

<PAGE>   15
 
STOCKHOLDER RETURN PERFORMANCE PRESENTATION
 
     The graph below compares the cumulative total stockholder return on the
Company's common stock with the cumulative total return on the Nasdaq Composite
Index and the Nasdaq Computer Index for the period beginning February 28, 1994
and ended March 31, 1996.
 
                     COMPARISON OF CUMULATIVE TOTAL RETURN*
          QLOGIC CORPORATION COMMON STOCK, NASDAQ COMPOSITE INDEX AND
                             NASDAQ COMPUTER INDEX
 

<TABLE>
<CAPTION>
      MEASUREMENT PERIOD              QLOGIC CORPORA-                         NASDAQ COMPUTER
    (FISCAL YEAR COVERED)                  TION          NASDAQ COMPOSITE          INDEX
<S>                                  <C>                 <C>                 <C>
FEB-94                                        100                 100                 100
MAR-94                                     103.85               93.81               94.48
JUN-94                                      76.92               89.08               86.83
SEP-94                                      96.15               96.44               97.86
DEC-94                                     103.85               94.88              107.38
MAR-95                                      73.08              103.12              122.65
JUN-95                                      75.00              117.79              154.27
SEP-95                                      92.31              131.68              169.21
DEC-95                                     117.31              132.76              168.02
MAR-96                                     134.62              138.98              174.35
</TABLE>

 
- ---------------
 
* Assumes that the value of the investment in the Company's common stock and
  each index was $100 on February 28, 1994.
 
            AMENDMENT OF THE NON-EMPLOYEE DIRECTOR STOCK OPTION PLAN
 
     On January 12, 1994, the Board of Directors of the Company adopted the
QLogic Corporation Non-Employee Director Stock Option Plan (the "Director Plan")
under which shares of common stock of the Company may be issued pursuant to
exercise of stock options granted under the plan to directors who are not
employees of the Company or any of its subsidiaries. The Director Plan was
approved by Emulex prior to the Distribution. Under the Director Plan, as
initially adopted, an option to purchase 12,500 shares of common stock of the
Company is granted automatically to each non-employee director of the Company
when such person first becomes an Eligible Director (as defined in the Director
Plan).
 
     In June 1996, the Board of Directors amended the Director Plan, subject to
approval of the stockholders, (i) to extend the termination date of the Plan to
December 31, 2001 from December 31, 1996, (ii) increase the number of shares of
common stock subject to the Plan by 75,000, (iii) provide for initial grants to
new directors of options to purchase 8,000 shares of common stock and (iv)
provide for annual grants to each non-employee director (other than the chairman
of the board) of options to purchase 3,000 shares of common
 
                                       13

<PAGE>   16
 
stock, and annual grants to the chairman of the board of options to purchase
5,000 shares of common stock. The Director Plan is intended to increase the
proprietary and vested interests of the non-employee directors of the Company
and the growth and performance of the Company by granting to them options to
purchase shares of common stock of the Company, to encourage them to continue
their services to the Company, and to attract individuals with outstanding
ability to serve on the Board of Directors of the Company. The foregoing
amendments were adopted and are recommended for approval by the Company's
stockholders because the Board believes that continued option grants under the
Director Plan play an important role in the Company's efforts to attract and
retain the services of individuals of outstanding ability as directors of the
Company. The Board also believes that option grants such as those contemplated
in the Director Plan are consistent with a trend in computer industry companies
similar in size and complexity to the Company to compensate directors with stock
options.
 
     A copy of the Director Plan, as amended by the Board subject to stockholder
approval, is set forth in full as Appendix A to this Proxy Statement. Following
is a summary of the principal provisions of the Director Plan, as amended:
 
     Administration. The Board of Directors is authorized to administer the
Director Plan in accordance with its terms; however, the Board shall have no
discretion with respect to the selection of directors to receive options, the
number of shares of common stock of the Company subject to any such options, or
the exercise price thereof. The Board may, in its sole discretion, delegate any
or all of its administrative duties to a committee of not fewer than two
non-employee members of the Board.
 
     Eligibility. Each director of the Company shall be eligible to receive an
option under the Director Plan only if such director (i) is not then an employee
of the Company or any of its subsidiaries, (ii) has not within the three years
immediately preceding such time, received any stock option, stock bonus, stock
appreciation right, or other similar stock award from the Company or any of its
subsidiaries, other than options granted to such director under the Director
Plan, and (iii) does not then beneficially own more than 10% of the outstanding
stock of the Company (an "Eligible Director"). Only Eligible Directors may
receive options under the Director Plan. All current members of the Board of
Directors, other than Mr. Desai, are Eligible Directors.
 
     Shares Subject to the Director Plan. An aggregate of 200,000 shares of
common stock of the Company shall be available for issuance upon exercise of
options granted under the Director Plan. This number is subject to adjustment in
the event of a stock split, stock dividend, subdivision or combination of the
common stock or other change in corporate structure affecting the common stock
of the Company.
 
     Grant, Term and Conditions of Options. The Director Plan provides that an
option to purchase 8,000 shares of common stock of the Company shall be granted
automatically to each Eligible Director on the date on which such director first
becomes an Eligible Director. Thereafter, an option to purchase an additional
3,000 shares of common stock of the Company shall be granted automatically to
each such director (other than the chairman of the board) at the close of
business on the date of each annual meeting of stockholders at which such
director is elected or reelected (commencing with the 1996 Annual Meeting of
Stockholders). An option to purchase an additional 5,000 shares of common stock
of the Company shall be granted annually to the chairman of the board following
each such election. If a period of less than 12 months elapses between the
initial grant date and the first annual grant date, the number of shares of
common stock that can be purchased under the option granted on the annual grant
date shall be prorated. Because each of the current non-employee directors of
the Company previously has been granted an option to purchase 12,500 shares of
common stock under the Director Plan, no current non-employee director will
receive an 8,000 share initial option grant. Options granted under the Director
Plan are non-qualified stock options not eligible for favorable tax consequences
given to incentive stock options by Section 422 of the Internal Revenue Code of
1986, as amended (the "Code"). The purchase price per share of the common stock
of the Company issuable upon exercise of the option shall be 100% of the fair
market value per share of such common stock on the date of grant.
 
                                       14

<PAGE>   17
 
     No option granted under the Director Plan shall be exercisable after the
expiration of the earlier of (i) ten years following the date the option is
granted, or (ii) one year following the date the optionee ceases to be a
director of the Company for any reason.
 
     Options granted to a director upon becoming an Eligible Director shall be
exercisable as to one-third of the shares subject to the option on each
anniversary date of the date the option is granted if the director to whom the
option is granted is still a director of the Company on such anniversary. Annual
option grants to directors will be exercisable as to one-third of the shares
subject to the option on each anniversary date of the date the option is granted
if the director to whom the option is granted is still a director of the Company
on such anniversary.
 
     In the event of the death of an optionee, any option (or unexercised
portion thereof) held by the optionee, to the extent exercisable by him or her
on the date of death, may be exercised by the optionee's personal
representatives, heirs, or legatees in accordance with the Director Plan. No
option shall be transferable by an optionee otherwise than by will or the laws
of descent and distribution, and, during the lifetime of the individual to whom
an option is granted, it may be exercised only by such individual or such
individual's guardian or legal representative.
 
     Mergers, Reorganizations and Changes in Control. In the event of a
liquidation of the Company or a merger, reorganization or consolidation of the
Company with any other corporation in which the Company is not the surviving
corporation or the Company becomes a subsidiary of another corporation, any
unexercised options previously granted under the Director Plan shall be deemed
cancelled unless the surviving corporation elects to assume the options or to
use substitute options. However, unless the surviving corporation elects to
assume the options or to use substitute options, the optionee shall have the
right, exercisable during a ten day period ending on the fifth day prior to such
liquidation, merger or consolidation, to fully exercise the optionee's option in
whole or in part without regard to any installment exercise provisions otherwise
provided in the Director Plan. In the event of a change in control of the
Company, as defined in the Director Plan, any unexercised option previously
granted under the Director Plan which is not then already exercisable as to all
of the shares subject to the option shall become exercisable upon such change in
control as to one half of the shares as to which the option is not already
exercisable in addition to the shares, if any, as to which the option is already
exercisable.
 
     Director Plan Amendments. The Director Plan may be terminated or amended by
the Board as its shall deem advisable. Without the authorization and approval of
the stockholders, however, the Board may not make any amendments which would (i)
materially increase the benefits accruing to directors under the Director Plan,
(ii) increase the total number of shares which may be issued under the Director
Plan, or (iii) materially modify the eligibility requirements to receive a stock
option grant under the Director Plan.
 
     Term of Director Plan. The Director Plan expires on December 31, 2001.
 
FEDERAL INCOME TAX CONSEQUENCES
 
     Only non-qualified options which are not intended to meet the incentive
stock option requirements of Section 422 of the Code will be issued under the
Director Plan. Under current federal income tax law, the grant of an option
under the Director Plan will have no federal income tax consequences to the
Company or the Director to whom it is granted. Generally, upon exercise of a
non-qualified stock option granted under the Director Plan, the excess of the
fair market value of the stock at the date of exercise over the option price
(the "Spread") is taxable to the optionee as ordinary income. All such amounts
taxable to an optionee are deductible by the Company as compensation expense.
The deduction will be allowed for the taxable year of the Company in which the
optionee includes an amount in income.
 
     Generally, the shares received on exercise of an option under the Director
Plan are not subject to restrictions on transfer or risks of forfeiture and,
therefore, the optionee will recognize income on the date of exercise of a
nonqualified stock option. However, if the optionee is subject to Section 16(b)
of the Exchange Act, the Section 16(b) restriction will be considered a
substantial risk of forfeiture for tax purposes. Under current law, participants
who are directors of the Company will be subject to restrictions under Sec-
 
                                       15

<PAGE>   18
 
tion 16(b) of the Exchange Act during their term of service and for up to six
months after termination of such service. SEC Rule 16b-3 provides an exemption
from the restrictions of Section 16(b) for the grant of derivative securities,
such as stock options, under qualifying plans. Because the Director Plan
satisfies the requirements for exemption under SEC Rule 16b-3, the grant of
options will not be considered a purchase and the exercise of the options to
acquire the underlying shares of common stock will not be considered a purchase
or sale. Thus, ordinary income will be recognized and the Spread will be
measured on the date of exercise.
 
     The foregoing discussion, based upon federal tax laws now in effect, is not
intended to cover all relevant tax aspects of the Director Plan.
 
AWARDS OUTSTANDING UNDER THE DIRECTOR PLAN
 
     As of July 12, 1996, options were outstanding under the Director Plan held
by four non-employee directors of the Company to purchase an aggregate of 50,000
shares of Company common stock (12,500 shares each) at an average exercise price
of $7.015 per share, and 62,500 shares were available for future grant of
options under the Director Plan to new directors. A total of 12,500 shares have
been issued pursuant to exercise of options granted under the Director Plan.
 
     An option to purchase 12,500 shares of common stock was granted under the
Director Plan to each of Mr. Bixby, Ms. Miltner and Mr. Wells when he or she
became an Eligible Director. An option to purchase 12,500 shares of common stock
was granted to Mr. Liebl in connection with the Distribution.
 
     The market value of the Company's common stock on July 12, 1996 was $9.625
per share.
 
REASONS FOR AMENDMENT OF THE DIRECTOR PLAN
 
     The Board of Directors believes that amendment of the Director Plan will
increase the proprietary and vested interest of the non-employee directors of
the Company in the growth and performance of the Company and will help enable
the Company to continue to attract and retain highly qualified persons to serve
as non-employee directors. The Board also believes that option grants such as
those contemplated in the Director Plan are consistent with a trend in computer
industry companies similar in size and complexity to the Company to compensate
directors with stock options.
 
VOTE REQUIRED FOR APPROVAL OF AMENDMENT OF THE DIRECTOR PLAN
 
     Approval of the amendment of the Director Plan requires the affirmative
vote of the holders of a majority of the shares of common stock of the Company
present, or represented, and entitled to vote at the Meeting. If the amendment
of the Director Plan is not approved by the stockholders, the Director Plan will
continue in effect and will terminate in accordance with its terms on December
31, 1996.
 
     THE BOARD OF DIRECTORS RECOMMENDS A VOTE "FOR" APPROVAL OF AMENDMENT OF THE
DIRECTOR PLAN.
 
          RATIFICATION OF SELECTION OF INDEPENDENT PUBLIC ACCOUNTANTS
 
     The accounting firm of KPMG Peat Marwick LLP serves the Company as its
independent public accountants at the direction of the Board of Directors of the
Company and has served in such capacity since the Company's inception. One or
more representatives of KPMG Peat Marwick LLP are expected to be present at the
Meeting and will have an opportunity to make a statement, if they desire to do
so, and to be available to respond to appropriate questions.
 
     THE BOARD OF DIRECTORS RECOMMENDS A VOTE "FOR" THE RATIFICATION OF THE
SELECTION OF KPMG PEAT MARWICK LLP AS THE INDEPENDENT PUBLIC ACCOUNTANTS FOR THE
COMPANY FOR FISCAL YEAR 1997. This matter is not required to be submitted for
stockholder approval, but the Board of Directors has elected to seek
ratification of its selection of the independent public accountants by the
affirmative vote of a majority of the shares represented and voting at the
Meeting.
 
                                       16

<PAGE>   19
 

                COMPLIANCE WITH SECTION 16(A) OF THE SECURITIES
                              EXCHANGE ACT OF 1934
 
     Section 16 of the Exchange Act requires the Company's directors and
executive officers and persons who own more than 10% of a registered class of
the Company's equity securities to file various reports with the Securities and
Exchange Commission and the National Association of Securities Dealers
concerning their holdings of, and transactions in, securities of the Company.
Copies of these filings must be furnished to the Company. To the Company's
knowledge, based solely on review of the copies of such reports furnished to the
Company and written representations that no other reports were required, during
the Company's most recent fiscal year all Section 16(a) filing requirements
applicable to its executive officers, directors and greater than 10% beneficial
owners have been met.
 
 
                            STOCKHOLDER PROPOSALS
 
     Stockholders who wish to present proposals for action at the 1997 Annual
Meeting of Stockholders should submit their proposals in writing to the
Secretary of the Company at the address of the Company set forth on the first
page of this Proxy Statement. Proposals must be received by the Secretary no
later than April 1, 1997, for inclusion in next year's proxy statement and proxy
card; provided, however, that in the event that the first public disclosure of
the date of the 1997 Annual Meeting of Stockholders is made less than 70 days
prior to the date of such meeting, proposals must be received not later than the
close of business on the tenth day following the day on which such public
disclosure was first made.
 
                         ANNUAL REPORT TO STOCKHOLDERS
 
     The Annual Report to Stockholders of the Company for the fiscal year ended
March 31, 1996, including audited consolidated financial statements, has been
mailed to the stockholders concurrently herewith, but such report is not
incorporated in this Proxy Statement and is not deemed to be a part of the proxy
solicitation material.
 
                                 OTHER MATTERS
 
     The Management of the Company does not know of any other matters which are
to be presented for action at the Meeting. Should any other matters come before
the Meeting or any adjournment thereof, the persons named in the enclosed proxy
will have the discretionary authority to vote all proxies received with respect
to such matters in accordance with their collective judgment.
 
                                       17

<PAGE>   20
 
                           ANNUAL REPORT ON FORM 10-K
 
     A copy of the Company's Annual Report on Form 10-K, as filed with the
Securities and Exchange Commission (exclusive of Exhibits), will be furnished
without charge to any person from whom the accompanying proxy is solicited upon
written request to Investor Relations, QLogic Corporation, 3545 Harbor
Boulevard, Costa Mesa, California 92626. If Exhibit copies are requested, a
copying charge of $.20 per page will be made.
 
                                          BY ORDER OF THE BOARD OF DIRECTORS
 
                                          Michael R. Manning
                                          Secretary
Costa Mesa, California
July 22, 1996
 
     STOCKHOLDERS ARE URGED TO SPECIFY THEIR CHOICES AND TO DATE, SIGN, AND
RETURN THE ENCLOSED PROXY IN THE ENCLOSED ENVELOPE. PROMPT RESPONSE IS HELPFUL
AND YOUR COOPERATION WILL BE APPRECIATED.
 
                                       18

<PAGE>   21
 
                                                                      APPENDIX A
 
                               QLOGIC CORPORATION
 
                    NON-EMPLOYEE DIRECTOR STOCK OPTION PLAN
 
     1. PURPOSE. The purpose of this QLogic Corporation Non-Employee Director
Stock Option Plan ("Plan") is to increase the proprietary and vested interest of
the non-employee directors of QLogic Corporation ("Company") in the growth and
performance of the Company by granting such directors options to purchase shares
of common stock of the Company, to encourage them to continue their services to
the Company, and to attract individuals of outstanding ability to serve on the
Board of Directors of the Company.
 
     2. NONQUALIFIED STOCK OPTIONS. The options granted under the Plan (each an
"option") will be options not specifically authorized or qualified for favorable
tax treatment under Section 422 of the Internal Revenue Code of 1986, as
amended, and any successor statutes ("Code") ("nonqualified stock options").
 
     3. ADMINISTRATION.
 
        3.1  Administration by Board. The Plan shall be administered by the
Board of Directors of the Company ("Board"). Subject to the provisions of the
Plan, the Board shall have authority to construe and interpret the Plan, to
promulgate, amend, and rescind rules and regulations relating to its
administration, and to make all of the determinations necessary or advisable for
administration of the Plan; provided, however, that the Board shall have no
discretion with respect to the selection of directors to receive options under
the Plan, the number of shares of stock subject to any such options, or the
purchase price thereof. The interpretation and construction by the Board of any
provision of the Plan, or of any agreement executed pursuant to the Plan, shall
be final and binding upon all parties. No member of the Board shall be liable
for any action or determination undertaken or made in good faith with respect to
the Plan or any agreement executed pursuant to the Plan.
 
        3.2  Administration by Committee. The Board may, in its sole discretion,
delegate any or all of its administrative duties to a committee (the
"Committee") of not fewer than two (2) members of the Board, all of the members
of which Committee shall be persons who, in the opinion of counsel to the
Company, are "disinterested persons" within the meaning of Rule 16b-3(c)(2)(i)
promulgated by the Securities and Exchange Commission. Effective on and after
August 15, 1996, the requirement that Committee members be disinterested persons
shall not apply and all of the members of the Committee shall be persons who, in
the opinion of counsel to the Company, are "non-employee directors" within the
meaning of Rule 16b-3(b)(3)(i) promulgated by the Securities and Exchange
Commission. If administration is delegated to a Committee, the Committee shall
have, in connection with administration of the Plan, the powers otherwise
possessed by the Board, subject, however, to such resolutions, not inconsistent
with the provisions of the Plan, as may be adopted from time to time by the
Board. The Board may abolish the Committee at any time and revest in the Board
the administration of the Plan. From time to time, the Board may increase or
decrease (to not less than two members) the size of the Committee, and add
additional members to, or remove members from, the Committee. The Committee
shall act pursuant to a majority vote, or the written consent of a majority of
its members, and minutes shall be kept of all of its meetings and copies thereof
shall be provided to the Board. Subject to the provisions of the Plan and the
directions of the Board, the Committee may establish and follow such rules and
regulations for the conduct of its business as it may deem advisable. No member
of the Committee shall be liable for any action or determination undertaken or
made in good faith with respect to the Plan or any agreement executed pursuant
to the Plan.
 
     4. ELIGIBILITY. Each director of the Company who satisfies the eligibility
criteria of this Section 4 (an "Eligible Director") shall receive an option
under the Plan pursuant to Section 6.1 hereof. A director is an Eligible
Director only if such director (i) is not then an employee of the Company or any
of its subsidiaries and (ii) has not, within three (3) years immediately
preceding such time, received any stock option, stock bonus, stock appreciation
right, or other similar stock award from the Company or any of its subsidiaries,
except as provided by this Plan. Only Eligible Directors may receive options
under the Plan. A director of the Company shall not be deemed to be an employee
of the Company or any of its subsidiaries solely by reason of the existence of
an agreement between such director and the Company or any subsidiary thereof
pursuant to
 
                                       A-1

<PAGE>   22
 
which the director provides services as a consultant to the Company or its
subsidiaries on a regular or occasional basis for compensation.
 
     5. SHARES SUBJECT TO OPTIONS. The stock available for grant of options
under the Plan shall be shares of the Company's authorized but unissued, or
reacquired, common stock. The aggregate number of shares which may be issued
pursuant to exercise of options granted under the Plan shall not exceed 200,000
shares of common stock. In the event that any outstanding option under the Plan
for any reason expires or is terminated, the shares of common stock allocable to
the unexercised portion of the option shall again be available for options under
the Plan as if no option had been granted with respect to such shares.
 
     6. TERMS AND CONDITIONS OF OPTIONS. Options granted under the Plan shall be
evidenced by agreements in such form and containing such provisions which are
consistent with the Plan as the Board or Committee shall from time to time
approve. All grants of options to Eligible Directors shall be automatic and non-
discretionary and shall be made strictly in accordance with the following
provisions.
 
        6.1  Grant of Options.
 
           (a) Prior to July 1, 1996, an option to purchase 12,500 shares of
common stock of the Company shall be granted automatically to each Eligible
Director upon the later to occur of:
 
             (1) the date of adoption of the Plan by the Board,
 
             (2) the date of stockholder approval of the Plan,
 
             (3) the Distribution Date (as defined in Section 6.12), or
 
             (4) the date on which such director first becomes an Eligible
        Director (the "Initial Grant Date").
 
           (b) Effective as of July 1, 1996, an option to purchase 8,000 shares
of common stock of the Company shall be granted automatically to each Eligible
Director upon the Initial Grant Date. This provision shall not apply to any
Eligible Director who, pursuant to the terms of this Plan, received an option to
purchase common stock of the Company prior to July 1, 1996.
 
           (c) Subsequent annual grants shall be made at the close of business
on the date of each annual meeting of stockholders at which the members of the
Board are elected or reelected subsequent to the Initial Grant Date (the "Annual
Grant Date"). Each Eligible Director shall automatically receive an option to
purchase 3,000 shares of common stock of the Company on the Annual Grant Date.
If the Eligible Director is serving as the Chairman of the Board on the Annual
Grant Date, an option to purchase 5,000 shares of common stock of the Company
shall be granted. If a period of less than twelve (12) months elapses between
the Initial Grant Date and the first Annual Grant Date, the number of shares of
common stock that can be purchased under the option granted on the Annual Grant
Date shall be prorated by multiplying the number of shares designated above by a
fraction, the numerator of which shall be the number of days that have elapsed
since the Initial Grant Date and the denominator of which shall be the number of
days since the last annual meeting of stockholders at which the members of the
Board were elected or reelected.
 
        6.2  Option Price. Except as provided by Section 6.12, the purchase
price for the shares subject to any option shall be 100% of the fair market
value of the shares of common stock of the Company on the date the option is
granted. For purposes of the Plan, the "fair market value" of any share of
common stock of the Company at any date shall be (a) if the common stock is
listed on an established stock exchange or exchanges, the last reported sale
price per share on the last trading day immediately preceding such date on the
principal exchange on which it is traded, or if no sale was made on such day on
such principal exchange, at the closing reported bid price on such day on such
exchange, (b) if the common stock is not then listed on an exchange, the last
reported sale price per share on the last trading day immediately preceding such
date reported by NASDAQ, or if sales are not reported by NASDAQ or no sale was
made on such day, the average of the closing bid and asked prices per share for
the common stock in the over-the-counter market as quoted on NASDAQ on such day,
or (c) if the common stock is not then listed on an exchange or quoted on
NASDAQ, an amount determined in good faith by the Board or the Committee.
 
                                       A-2

<PAGE>   23
 
        6.3  Notice and Payment. Any exercisable portion of an option may be
exercised only by:
 
           (a) delivery of a written notice to the Company, prior to the time
when such option becomes unexercisable under Section 6.4, stating the number of
shares being purchased and complying with all applicable rules established by
the Board or the Committee;
 
           (b) payment in full of the exercise price of such option by, as
applicable, (1) cash or check for an amount equal to the aggregate option
exercise price for the number of shares being purchased, (2) in the discretion
of the Board or Committee, upon such terms as the Board or Committee shall
approve, a copy of instructions to a broker directing such broker to sell the
common stock for which such option is exercised, and to remit to the Company the
aggregate exercise price of such options (a "cashless exercise"), or (3) in the
discretion of the Board or Committee, upon such terms as the Board or Committee
shall approve, the optionee may pay all or a portion of the purchase price for
the number of shares being purchased by tendering shares of the Company's common
stock owned by the optionee, duly endorsed for transfer to the Company, with a
fair market value (as determined pursuant to Section 6.2) on the date of
delivery equal to the aggregate purchase price of the shares with respect to
which such option or portion is thereby exercised (a "stock-for-stock
exercise");
 
           (c) payment of the amount of tax required to be withheld (if any) by
the Company or any parent or subsidiary corporation as a result of the exercise
of an option. The Optionee may pay all or a portion of the tax withholding by
(1) cash or check payable to the Company, (2) in the discretion of the Board or
Committee, upon such terms as the Board or Committee shall approve, cashless
exercise, (3) in the discretion of the Board or Committee, upon such terms as
the Board or Committee shall approve, stock-for-stock exercise, or (4) a
combination of (1), (2) and (3); and
 
           (d) delivery of a written notice to the Company requesting that the
Company direct the transfer agent to issue to the Optionee (or to his designee)
a certificate for the number of shares of common stock for which the Option was
exercised or, in the case of a cashless exercise, for any shares that were not
sold in the cashless exercise.
 
Any certificate(s) for shares of outstanding common stock of the Company used to
pay the exercise price shall be accompanied by stock power(s) duly endorsed in
blank by the registered holder of the certificate(s) (with the signature thereon
guaranteed). In the event the certificate(s) tendered by the optionee in such
payment cover more shares than are required for such payment, the certificate(s)
shall also be accompanied by instructions from the optionee to the Company's
transfer agent with respect to disposition of the balance of the shares covered
thereby.
 
        6.4  Term of Option. No option granted under the Plan shall be
exercisable after the expiration of the earlier of:
 
           (a) ten years following the date the option is granted; or
 
           (b) one year following the date the optionee ceases to be a director
of the Company for any reason.
 
        6.5  Exercise of Option. No option shall be exercisable during the
lifetime of an optionee by any person other than the optionee. An option shall
become exercisable as to one-third of the shares subject to the option on each
anniversary of the date the option is granted if the director to whom the option
is granted is still a director of the Company on such anniversary.
 
        6.6  No Transfer of Option. No option shall be transferable by an
optionee otherwise than by will or the laws of descent and distribution.
 
        6.7  Rights as a Stockholder or Director. An optionee or transferee of
an option shall have no rights as a stockholder of the Company with respect to
any shares covered by any option until the date of issuance of a share
certificate for such shares. No adjustment shall be made for dividends (ordinary
or extraordinary, whether cash, securities, or other property) or distribution
or other rights for which the record date is prior to the date such share
certificate is issued, except as provided in Section 6.10. Nothing in the Plan
 
                                       A-3

<PAGE>   24
 
or in any option agreement shall confer upon any director any right to continue
as a director of the Company or any of its subsidiaries, to be nominated to
serve as a director, or to receive any particular rate of compensation.
 
        6.8  No Fractional Shares. In no event shall the Company be required to
issue fractional shares upon the exercise of an option.
 
        6.9  Exercisability in the Event of Death. In the event of the death of
an optionee, any option (or unexercised portion thereof) held by the optionee,
to the extent exercisable by him or her on the date of death, may be exercised
by the optionee's personal representatives, heirs, or legatees subject to the
provisions of Sections 6.4 and 6.5 hereof.
 
        6.10  Recapitalization, Reorganization or Change in Control of
Company. Except as otherwise provided herein, appropriate and proportionate
adjustments shall be made in the number and class of shares subject to the Plan
and to the option rights granted under the Plan, and the exercise price of such
option rights, in the event of a stock dividend (but only on common stock),
stock split, reverse stock split, recapitalization, reorganization, merger,
consolidation, separation, or like change in the capital structure of the
Company. In the event of a liquidation of the Company, or a merger,
reorganization, or consolidation of the Company with any other corporation in
which the Company is not the surviving corporation or the Company becomes a
subsidiary of another corporation, any unexercised options theretofore granted
under the Plan shall be deemed cancelled unless the surviving corporation in any
such merger, reorganization, or consolidation elects to assume the options under
the Plan or to use substitute options in place thereof; provided, however, that,
notwithstanding the foregoing, if such options would otherwise be cancelled in
accordance with the foregoing, the optionee shall have the right, exercisable
during a ten-day period ending on the fifth day prior to such liquidation,
merger, or consolidation, to fully exercise the optionee's option in whole or in
part without regard to any installment exercise provisions otherwise provided by
Section 6.5. In the event of a Change in Control of the Company, as defined
below, any unexercised option theretofore granted under the Plan which is not
then already exercisable as to all of the shares subject to the option shall
become exercisable upon such Change in Control as to one-half of the shares as
to which the option is not already exercisable in addition to the shares, if
any, as to which the option is already exercisable. To the extent that the
foregoing adjustments relate to stock or securities of the Company, such
adjustments shall be made by the Board or the Committee, the determination of
which in that respect shall be final, binding, and conclusive. A "Change in
Control" shall be deemed to have occurred if:
 
           (a) any person, or any two or more persons acting as a group, and all
affiliates of such person or persons, shall own beneficially 33-1/3% or more of
the common stock of the Company outstanding, or
 
           (b) if following:
 
             (1) a tender or exchange offer for voting securities of the Company
        (other than any such offer made by the Company), or
 
             (2) a proxy contest for election of directors of the Company,
 
the persons who were directors of the Company immediately before the initiation
of such event (or directors who were appointed by such directors) cease to
constitute a majority of the Board of the Company upon the completion of such
tender or exchange offer or proxy contest or within one year after such
completion.
 
        6.11  Modification, Extension, and Renewal of Options. Subject to the
terms and conditions and within the limitations of the Plan, the Board or
Committee may modify, extend, or renew outstanding options granted under the
Plan, accept the surrender of outstanding options (to the extent not theretofore
exercised), and authorize the granting of new options in substitution therefor
(to the extent not theretofore exercised). Notwithstanding the foregoing, no
modification of an option shall:
 
           (a) without the consent of the optionee, alter or impair any rights
of the optionee under the option, or
 
                                       A-4

<PAGE>   25
 
           (b) adversely affect the qualification of the Plan or any other
stock-related plan of the Company under Rule 16b-3 under the Securities Exchange
Act of 1934 or any successor provision.
 
        6.12  1994 Distribution. The following provisions shall apply to the
options issued under this Plan in connection with the conversion and adjustment
of options which are outstanding under the Emulex Corporation NonEmployee
Director Stock Option Plan (the "Emulex Plan") on the "Distribution Date"
specified in the Distribution Agreement (the "Distribution Agreement") providing
for the distribution of all of the outstanding common stock of the Company (the
"Distribution") to the stockholders of Emulex Corporation, a Delaware
corporation ("Emulex"), on the Distribution Date and a reverse stock split of
the outstanding shares of common stock of the Company in connection with the
Distribution pursuant to which each two outstanding shares of common stock of
the Company on the Distribution Date will be combined to become one share of
common stock of the Company (the "Reverse Stock Split"), with all fractional
shares being acquired by the Company for cash:
 
           (a) Adjustment of Options for Reverse Stock Split. Upon the
effectiveness of the Reverse Stock Split, each option then outstanding under the
Emulex Plan shall be automatically adjusted pursuant to the terms of the Emulex
Plan so that the total number of shares of common stock of Emulex purchasable
under such option and the number of shares of such common stock purchasable as
of any given point in time shall be halved and the purchase price per share of
such common stock shall be doubled.
 
           (b) Conversion of Options Upon the Distribution. Upon the
Distribution, each option then outstanding under the Emulex Plan (an
"Outstanding Option") shall be automatically converted into two separately
exercisable options (collectively, the "New Options"), one to purchase common
stock of Emulex (a "New Emulex Option") and the other to purchase common stock
of the Company (a "Company Option"). Each New Emulex Option will be deemed
granted under the Emulex Plan and each Company Option will be deemed granted
under this Plan. Each New Option shall be exercisable for a number of shares
equal to the number of shares subject to purchase under the unexercised portion
of the related Outstanding Option (as adjusted as a result of the Reverse Stock
Split as provided herein).
 
           (c) Option Terms and Conditions. Except as otherwise provided in this
Section 6.12, each New Option shall contain and continue to be subject to the
same terms and conditions of the related Outstanding Option, including, without
limitation, provisions relating to the term and expiration of the option;
exercisability of the option; payment for shares purchased upon exercise of the
option; adjustments in the shares and exercise price under the option,
cancellation of the option, and/or acceleration of exercisability of the option
in the event of any stock dividend, stock split, reverse stock split, merger,
consolidation, liquidation, recapitalization or reorganization of the Company or
Emulex, as the case may be; or acceleration of exercisability of the option as a
result of a change in control of the Company or Emulex, as the case may be. For
purposes of determining expiration of the term and vesting of the right to
exercise a Company Option received in connection with the conversion of an
Outstanding Option held by a person who is a director of Emulex immediately
after the Distribution, such person's service as a director of Emulex following
the Distribution shall be credited as if it were service as a director of the
Company. For purposes of determining expiration of the term and vesting of the
right to exercise a New Emulex Option received in connection with the conversion
of an Outstanding Option held by a person who is a director of the Company
immediately after the Distribution, such person's service as a director of the
Company following the Distribution shall be credited as if it were service as a
director of Emulex.
 
           (d) Option Price. Upon the Distribution, the purchase price per share
of stock purchasable under each New Option shall be adjusted to give effect to
the Distribution by allocating the purchase price per share of the stock
purchasable under the related Outstanding Option between the Company Option and
the New Emulex Option proportionately such that the purchase price per share
under the Company Option shall be equal to the product of the purchase price per
share under the related Outstanding Option (adjusted as a result of the Reverse
Stock Split as provided herein) multiplied by a fraction, the numerator of which
is the fair market value of a share of common stock of the Company and the
denominator of which is the sum of the fair market value of a share of common
stock of the Company plus the fair market value of a share of common stock of
Emulex; and the purchase price per share under the New Emulex Option shall be
equal to the product
 
                                       A-5

<PAGE>   26
 
of the purchase price per share under the related Outstanding Option (adjusted
as a result of the Reverse Stock Split as provided herein) multiplied by a
fraction, the numerator of which is the fair market value of a share of common
stock of Emulex and the denominator of which is the sum of the fair market value
of a share of common stock of Emulex plus the fair market value of a share of
common stock of the Company.
 
           (e) Fair Market Value. For purposes of this Section 6.12, the fair
market value of a share of common stock of the Company and a share of common
stock of Emulex shall be the average of the closing sales prices per share of
common stock of the Company and common stock of Emulex, respectively, as quoted
on the NASDAQ National Market System as reported in the Wall Street Journal for
each of the 20 trading days beginning on the day following the Distribution
Date, and if there is no closing sale price reported on the NASDAQ National
Market System for either common stock of the Company or common stock of Emulex
for one or more days during such period, the determination shall be made
utilizing the earliest 20 days following the day following the Distribution Date
on which closing sales prices are reported for such stock.
 
        6.13  Other Provisions. Each option may contain such other terms,
provisions, and conditions not inconsistent with the Plan as may be determined
by the Board or Committee.
 
     7. TERMINATION OR AMENDMENT OF PLAN. The Board may at any time terminate or
amend the Plan; provided that, without approval of the stockholders of the
Company, there shall be, except by operation of the provisions of Section 6.10,
no increase in the total number of shares covered by the Plan, no change in the
class of directors eligible to receive options granted under the Plan, no
material increase in the benefits accruing to participants under the Plan, no
reduction in the exercise price of options granted under the Plan, and no
extension of the latest date upon which options may be exercised; and provided
further that, without the consent of the optionee, no amendment may adversely
affect any then outstanding option or any unexercised portion thereof held by
the optionee. Prior to August 15, 1996, the Plan may not be amended more than
once every six months, other than to comport with changes in the Code, the
Employee Retirement Income Security Act of 1974, as amended, or the rules
thereunder.
 
     8. INDEMNIFICATION. In addition to such other rights of indemnification as
they may have as members of the Board or the Committee, the members of the Board
or the Committee administering the Plan shall be indemnified by the Company
against reasonable expenses, including attorney's fees, actually and necessarily
incurred in connection with the defense of any action, suit, or proceeding, or
in connection with any appeal therein, to which they or any of them may be a
party by reason of any action taken or failure to act under or in connection
with the Plan or any option granted thereunder, and against all amounts paid by
them in settlement thereof (provided such settlement is approved by independent
legal counsel selected by the Company) or paid by them in satisfaction of a
judgment in any action, suit, or proceeding, except in relation to matters as to
which it shall be adjudged in such action, suit, or proceeding that such member
is liable for negligence or misconduct in the performance of his duties,
provided that within 60 days after institution of any such action, suit, or
proceeding, the member shall in writing offer the Company the opportunity, at
its own expense, to handle and defend the same.
 
     9. STOCKHOLDER APPROVAL AND TERM OF PLAN. This is an amendment and
restatement of the Plan, which originally was adopted and effective January 25,
1994. This amendment and restatement of the Plan shall be subject to approval by
the stockholders of the Company within 12 months after adoption of this amended
and restated Plan by the Board. In the event stockholder approval of the Plan is
not obtained within such time period, the Plan shall be terminated and all
options granted pursuant to the amendment and restatement of the Plan shall be
void and of no effect. The amended and restated Plan shall become effective upon
its adoption by the Board and approval by stockholders (the "Effective Date")
and shall apply to options granted on or after the Effective Date. The terms of
options granted under the Plan prior to the Effective Date shall be governed by
the Plan terms in effect prior to the Effective Date. Unless sooner terminated
by the Board in its sole discretion, the Plan will expire on December 31, 2001.
 
                                       A-6

<PAGE>   27
 
     IN WITNESS WHEREOF the Company has caused this Plan to be executed by its
duly authorized officer and to be effective on this 19th day of July, 1996.
 
                                          QLOGIC CORPORATION
 
                                          By:  /s/  H.K. Desai
                                            H. K. Desai, President and CEO
Attest:
 
By: /s/  Michael R. Manning
    Michael R. Manning, Secretary
 
                                       A-7

<PAGE>   28
 
PROXY                          QLOGIC CORPORATION
                             3545 HARBOR BOULEVARD
                          COSTA MESA, CALIFORNIA 92626
 
          THIS PROXY IS SOLICITED ON BEHALF OF THE BOARD OF DIRECTORS
 
     The undersigned hereby appoints Gary E. Liebl and George D. Wells as
Proxies, each with the power to appoint his substitute, and hereby authorizes
them or either of them to represent and to vote as designated below, all the
shares of common stock of QLogic Corporation held of record by the undersigned
on July 12, 1996, at the Annual Meeting of Stockholders to be held on August 20,
1996, or any adjournment thereof.
 

<TABLE>
<S>                                      <C>                             <C>
1. ELECTION OF DIRECTORS                 / / FOR all nominees below      / / WITHHOLD AUTHORITY to
                                         (except as marked to the        vote
                                         contrary below)                 for all nominees listed
                                                                         below
</TABLE>

 
(INSTRUCTION: TO WITHHOLD AUTHORITY TO VOTE FOR ANY INDIVIDUAL NOMINEE MARK THE
BOX NEXT TO THE NOMINEE'S NAME BELOW):
 
       / / Gary E. Liebl        / / George D. Wells        / / H.K. Desai
                 / / Carol L. Miltner        / / James A. Bixby
 
2. AMENDMENT TO NON-EMPLOYEE DIRECTOR STOCK OPTION PLAN
 
                 / / FOR        / / AGAINST        / / ABSTAIN
 
3. RATIFICATION OF SELECTION OF INDEPENDENT PUBLIC ACCOUNTANTS
 
                 / / FOR        / / AGAINST        / / ABSTAIN
 
4. In their discretion, the Proxies are authorized to vote upon such other
   business as may properly come before the meeting.

<PAGE>   29
 
    THIS PROXY, WHEN PROPERLY EXECUTED, WILL BE VOTED IN THE MANNER DIRECTED
HEREIN BY THE UNDERSIGNED STOCKHOLDER. IF NO DIRECTION IS MADE, THIS PROXY WILL
BE VOTED FOR PROPOSALS 1, 2, AND 3.
 
                                              Dated: _____________________, 1996

 
                                              ----------------------------------
                                                          Signature
 
                                              ----------------------------------
                                                  Signature if held jointly
 
                                              Please sign exactly as name
                                              appears below. When shares are
                                              held by joint tenants, both should
                                              sign. When signing as attorney, as
                                              executor, administrator, trustee,
                                              or guardian, please give full
                                              title as such. If a corporation,
                                              please sign in full corporate name
                                              by President or other authorized
                                              officer. If a partnership, please
                                              sign in partnership name by
                                              authorized person.
 
          PLEASE READ, SIGN, DATE, AND RETURN THE PROXY CARD PROMPTLY
                          USING THE ENCLOSED ENVELOPE.



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