EDS Board Names Richard H. `Dick' Brown Chairman and Chief Executive Officer; Will Assume New Post On January 15, 1999

Business Wire, Dec 10, 1998

PLANO, Texas--(BUSINESS WIRE)--Dec. 10, 1998--EDS' (NYSE:EDS) Board of Directors today selected Richard H. "Dick" Brown as chairman and chief executive officer of the $15.2 billion global information services leader.

Brown, 51, joins EDS from Cable & Wireless PLC, which he has transformed into the most global telecommunications company in the world. He will assume his new responsibilities Jan. 15, 1999.

"Dick has an impressive record as a successful results-oriented change agent, with a strong background in strategy, operations and marketing," said James A. Baker, III, chairman of the Board's Governance Committee. "During his tenure as CEO of Cable & Wireless, he was remarkably effective in revitalizing and repositioning the company as a global telecommunications leader. As only the third chairman and CEO in EDS' 36-year history, he will be taking the reins of a strong, growing company in another industry replete with opportunity. Dick truly is the ideal executive to lead EDS into the next century, and we are delighted to welcome him."

"The prospects for EDS' future are indeed compelling," Brown said. "This is a company rich with assets -- a strong client list, global capability, a solid balance sheet, and best of all, a workforce that's built a legacy of leadership in this business. The direction EDS takes over the coming months will shape its future for the next decade. I am confident that, with the right strategy and hard work, we can take full advantage of EDS' many strengths and achieve outstanding results for its clients, shareholders, and employees.

"At the same time, the opportunity to work with the people of Cable & Wireless has been one of the best, most memorable experiences of my career," Brown continued. "I take great pride in what we've accomplished together, and leaving was a difficult decision. While the opportunity at EDS is exceptional, it also coincides with a number of personal and family priorities for me that were important factors in my decision. Part of my heart will always be with the Cable & Wireless team, but I leave with great confidence that they will continue forging ahead on the path we have laid toward profitable growth and global leadership."

During his tenure at Cable & Wireless, Brown moved quickly to transform the company into a global telecommunications giant. In only 29 months there he has negotiated some 21 deals valued at more than $20 billion and dramatically repositioned the company. Most recently, he oversaw the purchase of MCI/WorldCom's entire Internet backbone and client base, giving Cable & Wireless a significant foothold in that business. Since he arrived in 1996, the company's pretax profits have increased 60 percent to $3.7 billion, with revenue growth of 26 percent to $11.9 billion in 1998.

Brown's career history includes more than 25 years in the telecommunications industry, among them, five years at Chicago-based Ameritech Corporation, where he led a corporate restructuring that organized the company by product rather than geography. His strong customer-focused orientation reflects his broad functional background, having moved through key assignments in operations, marketing, engineering and general management.

Brown is a director of Cable & Wireless PLC, Hong Kong Telecom, Pharmacia & Upjohn, Inc., and The Seagram Co. Ltd. A 1969 graduate of Ohio University and a native of New Brunswick, New Jersey, he and his wife, Chris, will relocate from London to the Dallas, area early next year.

EDS, the official information technology services provider for World Cup 1998, is a leader in the global information services industry. The company's more than 110,000 employees specialize in applying a range of ideas and technologies to help business and government clients improve their economics, products, services and relationships. EDS, which serves clients in 47 countries, reported revenues of $15.2 billion in 1997. The company's stock is traded on the New York Stock Exchange (NYSE:EDS) and the London Stock Exchange. Visit EDS via the Internet at http://www.eds.com.

NOTE TO EDITORS: We suggest the following references for Dick Brown and his career: Fred Hassen, president and CEO, Pharmacia & Upjohn, Inc. Leo Mullin, president and CEO, Delta Airlines Dick Notebaert, chairman and CEO, Ameritech Corporation Paul Marsh, Morgan Stanley, London, Financial Analyst who covers Cable & Wireless PLC