News release

Compaq Awarded Three-Year Global Agreement by General Motors

Continuing its digital business transformation, General Motors Corporation (NYSE: GM) has competitively awarded a three-year agreement to Compaq Computer Corporation (NYSE: CPQ) to provide notebook, desktop solutions, and related services.

General Motors, supported by Compaq's global enterprise technology and services expertise, will deploy integrated, standardized IT systems that reduce the complexity and business risk of its global infrastructure. Chosen because of its ability to provide total solutions and rapid problem resolution with global reach, Compaq will deliver technology that enables GM to establish a common platform to drive greater operational efficiencies and increase computer stability.

In addition, Compaq specialists will continue to staff the GM Executive Support Services Program created in 1999 to provide consulting services to GM executives on ways to tightly integrate computing technologies into their critical workday activities and thereby enhance communications, productivity, and impact.

"General Motors continues to incorporate technology and business process change to move fast, drive efficiencies and produce bottom line value for the company," said Rick Sturgeon, process information officer for General Motors Information Systems & Services. "Compaq will play a key role in helping us build a consistent, global infrastructure as well as push technology adoption and integration throughout GM."

As the largest U.S. exporter of cars and trucks, GM has a global presence in more than 200 countries and generated sales of $183 billion in 2000. General Motors' massive IT infrastructure supports a workforce of nearly 400,000 employees and manufacturing operations in 50 countries.

"This agreement represents a major step forward in Compaq's ongoing partnership with General Motors. For years, the Compaq team has helped GM make the best use of our innovative technology and services to support their operations globally," said Compaq's Peter Blackmore, executive vice president of worldwide sales and services. "Our work with GM is a great example of Compaq's commitment to building deeper relationships with our customers in order to deliver repeatable, integrated solutions that incorporate the best of our products, services, and partnerships. We appreciate and value the partnership with GM," Blackmore added.

About General Motors

General Motors (NYSE: GM), the world's largest vehicle manufacturer, designs, builds and markets cars and trucks worldwide. It employs about 388,000 people globally. GM is investing aggressively in high technology and eBusiness within its global automotive operations and through such initiatives as e-GM, GM BuyPower, OnStar, and its Hughes Electronics Corp. (NYSE: GMH) subsidiary.

About Compaq

Founded in 1982, Compaq Computer Corporation ("Compaq") is a leading global provider of enterprise technology and solutions. Compaq designs, develops, manufactures and markets hardware, software, solutions and services, including industry-leading enterprise storage and computing solutions, fault-tolerant business-critical solutions, communication products, and desktop and portable personal computers that are sold in more than 200 countries. Information on Compaq and its products and services is available at http://www.compaq.com.