Compaq Enhances ProLiant 4500 Server Value with Additional Processor and Pentium Pro Upgrade Offers; Customers Can Increase Pentium Processing Power At No Additional Cost While Ensuring a Protected Transition to Pentium Pro Technology

Business Wire, March 19, 1996

HOUSTON--(BUSINESS WIRE)--March 19, 1996 -- Continuing to enhance the value of its ProLiant line of servers and provide industry- leading investment protection for its customers, Compaq Computer Corporation (NYSE:CPQ) today announced it will include an additional processor board -- approximately a $5,000 value(a) -- at no extra cost with all Compaq ProLiant 4500 100 MHz and 133 MHz Pentium models purchased in the United States between March 1 and June 30, 1996. (For details on ProLiant 1500 and ProSignia 500 price reductions announced today, see related Compaq release).

Compaq also introduced a premium-free, Pentium Pro upgrade offer for ProLiant 4500 rack-mounted servers purchased in the United States between March 1 and June 30, 1996. Under this program, customers can buy any ProLiant 4500 rack-mountable server and still receive a premium-free, Pentium Pro upgrade kit(b)should they choose to transition to Pentium Pro technology later. The premium-free upgrade assures customers that the total cost of buying a server now, and upgrading it to Pentium Pro technology later, won't exceed the cost of a comparable Pentium Pro server when it becomes available from Compaq. ProLiant 4500 rack-mounted servers covered by this program can be upgraded to Pentium Pro technology between January 1 and June 30, 1997. Compaq is also offering customers a low-cost Pentium Pro trade-in program for ProLiant 4500 tower systems purchased between March 1 and June 30, 1996.(c)

"Compaq is dedicated to providing its customers the highest price/performance value in the marketplace and a smooth, protected transition to Pentium Pro technology," said Mike Lambert, vice president, major account business unit, Compaq North America. "With the additional processor board and Pentium Pro upgrade offers, our customers can acquire the processing power they need today -- and augment it for free -- knowing their investment will be protected."

The Compaq ProLiant 4500 and 1500 models deliver the functionality and industry leading price/performance customers demand for line-of-business applications. Compaq's systems strategy is to provide high-performance, fault tolerant, and scaleable industry-standard platforms for distributed enterprise computing, and bring added value to its customers through the seamless integration and management of its platforms with leading operating systems, databases, and applications.

Company Background

Compaq Computer Corporation is the world's largest supplier of personal computers, offering desktop PCs, portable PCs, servers, and options. The company reported 1995 worldwide sales of $14.8 billion. Compaq products are sold and supported in more than 100 countries through Compaq marketing partners and sold directly to customers through Compaq Direct Plus at 1-800-888-5858. Compaq provides 24- hour customer support and can be reached through the Compaq forums on America Online, CompuServe, Internet (http://www.compaq.com), and Prodigy, or by calling 1-800-OK-COMPAQ. Product information and reseller locations can be obtained by calling 1-800-345-1518

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(a) Estimated street price. Actual price will vary. (b) Limit of one upgrade kit per unit, certain restrictions and exclusions apply, subject to availability. (c) Trade-in offer must be exercised between January 1 and June 30, 1997.

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Compaq, Registered U.S. Patent and Trademark Office. Pentium and Pentium Pro are registered trademarks of Intel Corporation. Product names mentioned herein may be trademarks and/or registered trademarks of their respective companies.

CONTACT: Compaq Computer Corporation

Jerele Neeld

713-514-2394

or

Miller/Shandwick Technologies

Marc Gendron, Dave Anderson

617-536-0470

mgendron@millercom.com