News release

HP Offers New Modernization Offerings to Help Businesses Transform Legacy Applications

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HP today announced new capabilities to help customers increase business agility and reduce costs by transforming their legacy enterprise applications into an environment that is better aligned to changing business needs.

All organizations today use applications as part of their day-to-day operations. These applications must be fast, flexible and cost effective. Those that are unable to meet constantly changing requirements are considered legacy applications.

Although key to the organization, these applications can be difficult to modify and enhance because of their complex nature and maturity. This can result in high cost of ownership and inflexibility to meet business requirements.

"An analysis of our environment found that the mainframe-based applications for financial, human resources and supply chain functions were antiquated and out of step with the times," said Robin Cody, department manager, Information Technology, Bay Area Rapid Transit District. "HP gave us the foundation to modernize our major applications, improve information access and reduce our costs."

To transform legacy applications, HP has introduced a modernization "factory" program, visual tools and state-of-the-art modernization showcase centers. These new offerings are designed to help customers deploy application modernization solutions more quickly and cost-effectively with less risk.

New application transformation offerings

HP guides customers through the process of transforming their legacy applications by helping them visualize and understand their current application environments, identify areas for improvement, develop a strategy for the transformation process and then perform the necessary changes.

The new HP Modernization Factory program relies on HP's extensive experience in application rehosting and reengineering. The "factory" is a specialized center staffed with highly trained experts who deliver modernization skills at competitive prices on a worldwide basis.

The advantage of using the factory approach is minimized risk, as well as reduced time, budget and resource requirements. When combined with offerings from HP's modernization partners, this program addresses customers' increased demand for an expanded variety of modernization solutions.

New HP Legacy Application Transformation and Visual Intelligence Tools provide unique insight into the structure and composition of legacy applications. The tools accelerate the process of modernizing applications and reduce risk by providing a greater understanding of the applications.

With these tools, customers can "see" the internal structure of their legacy applications as the visualization exposes attributes such as size, complexity and internal structure. Using this information, customers can make informed choices on the best route forward to modernize.

The tools include:

• HP Modernization Profile - Analyzes an application's composition to assist in the selection of areas that may be the key contributors to high cost and low levels of flexibility.
• HP Clone Set Analyzer - Identifies duplicate code to avoid repetition of modernization efforts and provide economies of scale to reduce costs.
• HP Clone Pattern Analyzer - Reveals hidden patterns of code reuse to help group together similar applications and ensure tasks are not duplicated.

The new HP Modernization Showcase Centers offer services to assist customers with all phases of modernization. Deployed on a global basis, each center will provide a demonstration environment for proof-of-concepts and implementation activities.

"HP's new application modernization offerings enable customers to accurately assess legacy applications," said John McCain, senior vice president and general manager, HP Services. "Combined with HP's deep services expertise, these offerings provide customers a low-risk, cost-effective method for transforming applications environments."

Modernization capabilities a part of HP's comprehensive portfolio of services to transform application environments. More information about this portfolio is available at www.hp.com/go/applicationmodernization.

About HP

HP focuses on simplifying technology experiences for all of its customers - from individual consumers to the largest businesses. With a portfolio that spans printing, personal computing, software, services and IT infrastructure, HP is among the world's largest IT companies, with revenue totaling $107.7 billion for the four fiscal quarters ended Jan. 31, 2008. More information about HP (NYSE: HPQ) is available at http://www.hp.com.

This news release contains forward-looking statements that involve risks, uncertainties and assumptions. If such risks or uncertainties materialize or such assumptions prove incorrect, the results of HP and its consolidated subsidiaries could differ materially from those expressed or implied by such forward-looking statements and assumptions. All statements other than statements of historical fact are statements that could be deemed forward-looking statements, including but not limited to statements of the plans, strategies and objectives of management for future operations; any statements concerning expected development, performance or market share relating to products and services; anticipated operational and financial results; any statements of expectation or belief; and any statements of assumptions underlying any of the foregoing. Risks, uncertainties and assumptions include the execution and performance of contracts by HP and its customers, suppliers and partners; the achievement of expected results; and other risks that are described in HP's Quarterly Report on Form 10-Q for the fiscal quarter ended January 31, 2008 and HP's other filings with the Securities and Exchange Commission, including but not limited to HP's Annual Report on Form 10-K for the fiscal year ended October 31, 2007. HP assumes no obligation and does not intend to update these forward-looking statements.

© 2008 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice. The only warranties for HP products and services are set forth in the express warranty statements accompanying such products and services. Nothing herein should be construed as constituting an additional warranty. HP shall not be liable for technical or editorial errors or omissions contained herein.