News release

Compaq Expands Partner Diversity Initiatives

Compaq Computer Corporation (NYSE: CPQ), the world's leading technology solutions company, today announced two initiatives that reinforce its commitment to diversity within its reseller and partner base in North America.

First, as an extension of the Minority Partner Program launched in 1994 for resellers selling to the Federal government, the Compaq Business Partner Program for Diversity Partners is now open to minority-owned technology companies that sell to the education and commercial marketplace as well as the federal, state and local government. In addition, Compaq created its first Diversity Partner Advisory Council to strengthen its business practices with minority-owned firms.

"Our reseller partners enable us to extend our market reach and assure customers high-level personal service backed by the strength of the Compaq brand. Our goal is to strengthen our relationship with our minority partners as we exchange information and ideas on how we can work together to meet customer needs and increase sales of Compaq solutions," " said Dan Vertrees, vice president, Compaq North America Partner Sales and Marketing.

Benefits of Business Partner Program for Diversity Partners

The Compaq Business Partner Program for Diversity Partners is open to minority-owned technology companies that sell to the education and commercial marketplace as well as the federal, state and local government. With this program, Compaq offers a suite of benefits including financial incentives, training, equipment programs, and marketing tools to assist minority firms in delivering Compaq-based solutions to end customers.

To become eligible for the program, existing Compaq business partners complete an application and submit documentation supporting the company's minority status. Companies interested in becoming an authorized partner must first apply for Compaq Business Partner authorization. More information about becoming a member of the Compaq Business Partner Program for Diversity Partners is available at http://www.compaq.com/resellers/.

Sixteen Partners Nominated to Diversity Partner Council

The Compaq Diversity Partner Advisory Council is comprised of 16 prominent partners from throughout the United States representing women, Asian, Hispanic, and African American business owners.

The goal of the council is to establish a formal forum for partners to provide input and feedback regarding technology roadmaps, program initiatives and assist in the development of best-in-class partner programs.

"We believe our partnership with Compaq will promote the success of minority-owned business by bringing technology solutions to customers and continuing to extend the market reach of Compaq," said Camilo Soto, president and CEO of PCNet, one of the largest Hispanic-owned businesses in the Northeast U.S., and president of the Diversity Partner Council. "We are extremely excited that Compaq is taking the lead to bring in a diverse group of partners that represent a variety of cultures and industry expertise."

With over 10,000 partners in the U.S., Compaq is the leading technology company using partners as a key component of its go-to-market model.

About Compaq

Compaq Computer Corporation, a Fortune Global 100 company, is a leading global provider of technology and solutions. Compaq designs, develops, manufactures, and markets hardware, software, solutions, and services, including industry-leading enterprise computing solutions, fault-tolerant business-critical solutions, and communications products, commercial desktop and portable products, and consumer PCs that are sold in more than 200 countries. Information on Compaq and its products and services is available at http://www.compaq.com.