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Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
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<SEC-DOCUMENT>0000891020-01-500449.txt : 20020413
<SEC-HEADER>0000891020-01-500449.hdr.sgml : 20020413
ACCESSION NUMBER:		0000891020-01-500449
CONFORMED SUBMISSION TYPE:	8-K
PUBLIC DOCUMENT COUNT:		2
CONFORMED PERIOD OF REPORT:	20011220
ITEM INFORMATION:		Other events
ITEM INFORMATION:		Financial statements and exhibits
FILED AS OF DATE:		20011221

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			KEY TRONIC CORP
		CENTRAL INDEX KEY:			0000719733
		STANDARD INDUSTRIAL CLASSIFICATION:	COMPUTER PERIPHERAL EQUIPMENT, NEC [3577]
		IRS NUMBER:				910849125
		STATE OF INCORPORATION:			WA
		FISCAL YEAR END:			0630

	FILING VALUES:
		FORM TYPE:		8-K
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	000-11559
		FILM NUMBER:		1821302

	BUSINESS ADDRESS:	
		STREET 1:		P O BOX 14687
		CITY:			SPOKANE
		STATE:			WA
		ZIP:			99216
		BUSINESS PHONE:		5099288000

	MAIL ADDRESS:	
		STREET 1:		P O BOX 14687
		CITY:			SPOKANE
		STATE:			WA
		ZIP:			99214
</SEC-HEADER>
<DOCUMENT>
<TYPE>8-K
<SEQUENCE>1
<FILENAME>v780628ke8-k.txt
<DESCRIPTION>FORM 8-K
<TEXT>
<PAGE>
                       SECURITIES AND EXCHANGE COMMISSION

                              WASHINGTON, DC 20549

                                    FORM 8-K

                                 CURRENT REPORT
                     PURSUANT TO SECTION 13 OR 15(D) OF THE
                         SECURITIES EXCHANGE ACT OF 1934

                                DECEMBER 20, 2001
- --------------------------------------------------------------------------------
                        (Date of Earliest Event Reported)

                             KEY TRONIC CORPORATION
- --------------------------------------------------------------------------------
               (Exact Name of Registrant as Specified in Charter)

                                   WASHINGTON
- --------------------------------------------------------------------------------
                 (State or Other Jurisdiction of Incorporation)

           0-11559                                        91-0849125
- --------------------------------------------------------------------------------
   (Commission File Number)                    (IRS Employer Identification No.)



                               NORTH 4424 SULLIVAN
                            SPOKANE, WASHINGTON 99216
- --------------------------------------------------------------------------------
                    (Address of Principal Executive Offices)

                                 (509) 928-8000
- --------------------------------------------------------------------------------
              (Registrant's Telephone Number, Including Area Code)
<PAGE>
ITEM 5.  OTHER EVENTS.

         On December 21, 2001, Key Tronic Corporation issued a press release
announcing a verdict in a lawsuit in which it is a defendant.

ITEM 7.  FINANCIAL STATEMENTS, PRO FORMA FINANCIAL INFORMATION AND EXHIBITS.

         (c)      EXHIBITS

                  99.1     Press Release, dated December 21, 2001, announcing a
                           verdict in a lawsuit in which it is a defendant.



                                   SIGNATURES

         Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.

         Date:  December 21, 2001

                                            KEY TRONIC CORPORATION

                                            By:/s/ Ronald F. Klawitter
                                               ------------------------------
                                                 Ronald F. Klawitter
                                                 Executive Vice President of
                                                 Administration and Treasurer
<PAGE>
                                  EXHIBIT INDEX

EXHIBIT NUMBER                                             DESCRIPTION

     99.1                 Press Release, dated December 21, 2001, announcing a
                          verdict in a lawsuit in which Key Tronic Corporation
                          is a defendant.

</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99.1
<SEQUENCE>3
<FILENAME>v780628kex99-1.txt
<DESCRIPTION>EXHIBIT 99.1
<TEXT>
<PAGE>
                     KEY TRONIC ANNOUNCES VERDICT IN LAWSUIT

         Spokane, WA, December 21, 2001. Key Tronic Corporation (KTCC) announced
today that a jury in Seattle federal court rendered a verdict yesterday
afternoon finding that Key Tronic misappropriated trade secrets and breached a
confidentiality agreement with Plaintiffs Fernando Falcon, Federico Gilligan and
their company, F&G Scrolling Mouse LLC. The jury awarded damages of $16.5
million. The jury also found that the misappropriation was not willful. The suit
alleged that secret information owned by Falcon, Gilligan and F&G was improperly
disclosed by Key Tronic to Microsoft Corporation, a former defendant in the
suit, and thereafter used by Microsoft in the Microsoft IntelliMouse(R)
products. Key Tronic intends to vigorously pursue post-trial motions seeking to
overturn the verdict, and an appeal if necessary. Key Tronic is evaluating all
options, including possible pursuit of a claim against Microsoft.

         As a result of the verdict, the Company expects that, as of December
29, 2001, it will be in default of certain financial covenants in its credit
facility maintained with a lender to the Company. The Company expects to seek a
waiver of the default from the lender.

         IntelliMouse(R) is a registered trademark of Microsoft Corporation.

         ***************

         Some of the statements in this press release are forward-looking
statements within the meaning of the Private Securities Litigation Reform Act of
1995. Forward-looking statements include all passages containing verbs such as
'aims, anticipates, believes, estimates, expects, hopes, intends, plans,
predicts, projects or targets' or nouns corresponding to such verbs.
Forward-looking statements also include any other passages that are primarily
relevant to expected future events or that can only be fully evaluated by events
that will occur in the future. Forward-looking statements in this release
include, without limitation, the Company's statements regarding its intentions
and plans with respect to the lawsuit, including the possible pursuit of a claim
against Microsoft, and its expectation that it will seek to obtain a waiver of
the default under its credit facility. There are many factors, risks and
uncertainties that could cause actual results to differ materially from those
predicted or projected in the forward-looking statements, including the inherent
uncertainties and risks of litigation that may cause the Company to review and
alter its litigation strategy, the risk of potential adverse rulings in the
litigation and the risk that the Company may be unable to obtain a waiver of the
default under its credit facility.

</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
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