Compaq To Redeem Digital Preferred Stock

Business Wire, Feb 23, 1999

HOUSTON--(BUSINESS WIRE)--Feb. 23, 1999--Compaq Computer Corporation (NYSE:CPQ) today announced that its wholly-owned subsidiary Digital Equipment Corporation (NYSE:DEC) has called for redemption and will redeem on April 1, 1999 all outstanding shares of the Series A 8-7/8% Cumulative Preferred Stock and all depositary shares evidencing the Series A Preferred Stock (each Depositary Share representing 0.25 shares of Series A Preferred Stock) of Digital.

"The redemption of the Digital preferred stock is one more step in realizing synergies from the Digital acquisition and will result in cash savings for Compaq," said Earl Mason, senior vice president and chief financial officer.

The redemption price to be paid for each depositary share will be $25.555.

For additional information, please contact the Corporate Actions Department of Citibank, N.A., the Information Agent for the redemption, at 877/248-4237.

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Compaq Computer Corporation, a Fortune Global 100 company, is the second largest computer company in the world and the largest global supplier of computer systems. Compaq develops and markets hardware, software, solutions, and services, including industry-leading enterprise computing solutions, fault-tolerant business-critical solutions, enterprise and network storage solutions, commercial desktop and portable products, and consumer PCs. The company is an industry leader in environmentally friendly programs and business practices.

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