News release

HP Announces Contest Winners, New Relationship at Conference on Telework America Day 2000

Company to Team with Kinetic Workplace to Develop Workplace Program Services

WASHINGTON, D.C., Oct. 24, 2000

Hewlett-Packard Company (NYSE: HWP) today announced the winners of the Great American Work Out Contest as well as a new relationship with Kinetic Workplace, Inc. at the Washington Area Conference on Telework America Day.

HP's Great American Work Out Contest recognizes success stories in both the corporate and individual sectors. Merrill Lynch, the corporate winner, was awarded a $50,000 community grant, which it will be giving to the charity of its choice. Merrill Lynch's success story showcased how its telework program enabled it to more easily hire and accommodate employees with disabilities.

The individual winner, Bonnie Grisham, director of organization development for Macy's, was awarded a complete HP telework product bundle and a suite of home office furniture designed specifically for the home work environment.

By teaming with key providers, HP is developing end-to-end workplace performance service and solution offerings for the emerging corporate office/home office market. Through its relationship with Kinetic Workplace, HP will offer expert consulting services and software solutions that enable organizations to rapidly establish successful, scalable workplace strategies that increase a company's return on its top three assets: people, technology, and space.

"HP is reinventing the way people work by providing products and services for the way people need to work," said Marjorie Thomas, next generation workforce manager for HP. "The number of teleworkers has more than doubled in the past two years and the long-term trend indicates as many as 47 million U.S. adults will be teleworkers by 2003¹. HP is delivering on its promise of an always-on Internet infrastructure by providing the strategy and technology required to support telework initiatives."

HP's strategic development efforts along with key affiliates will enable workers to do what they need to do, when and where they want to do it. Whether it's an individual teleworker or a large corporate telework program, HP supplies not only the products but also the services and support that corporate offices and home offices may require.

About Telework America Day

Telework America Day is a national project of the International Telework Association and Council (ITAC), the world's leading telework association. First launched in 1995, Telework America Day is a joint effort between both the public and private sectors to encourage the adoption and growth of telework arrangements through a nationwide campaign of public awareness and education. Participants include corporate, non-profit, and government entities as well as individuals across the nation.

About Kinetic Workplace, Inc.

Kinetic Workplace, Inc. is the leading provider of telework, hoteling and virtual officing solutions. Kinetic Workplace is comprised of professionals with expertise in organizational development, human resources training, information and telecommunication systems and strategic real estate planning. For Information go to http://www.kineticworkplace.com/.

About HP

Hewlett-Packard Company -- a leading global provider of computing and imaging solutions and services -- is focused on making technology and its benefits accessible to individuals and businesses through simple appliances, useful e-services and an Internet infrastructure that's always on.

HP has 86,000 employees worldwide and had total revenue from continuing operations of $42.4 billion in its 1999 fiscal year. Information about HP and its products can be found on the World Wide Web at http://www.hp.com/.

¹ Based on a December 1999 IDC report entitled, "Outsourced Telecommuting Services: An Idea Whose Time Has Come."