News release

HP Announces Worldwide Facilities, Security Agreements

Consolidated contracts expected to drive major savings

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HP today announced a major consolidation of facilities and security vendors for most of its worldwide facilities, a move expected to save tens of millions of dollars over the life of the new contracts.

HP awarded a contract for integrated facilities management in its Europe, Middle East, Africa (EMEA) and Asia Pacific Japan (APJ) regions to ISS (www.issworld.com) of Copenhagen, Denmark. The EMEA contract is subject to the completion of country legal requirements.

The company also announced it has extended a similar agreement with Johnson Controls Inc. (www.johnsoncontrols.com) of Milwaukee, Wis., for HP locations in Latin America. Johnson Controls currently manages HP facilities in the United States and Canada.

The contracts integrate technical, custodial, food and general maintenance services, facilities moves and alterations, non-industrial waste management and environmental health and safety operations. Many of the services will be sub-contracted.

HP also announced it has awarded a contract for site security, reception and switchboard services for its facilities in EMEA, APJ and Latin America to G4S (www.g4s.com) of West Sussex, England. China, France, Germany and Venezuela are excluded from the agreements. The EMEA contract is subject to country legal requirements. Security services for HP facilities in the United States and Canada were awarded last year to Securitas (www.securitas.com) of Stockholm, Sweden.

Details of the agreements were not disclosed.

HP has 172,000 employees occupying 62 million square feet of office, manufacturing, development and laboratory space around the world.

The contracts are part of a strategy driven by HP’s Corporate Administration and Shared Services organization to provide consistency and operating excellence at its global facilities through vendor consolidation. The agreements involved HP’s global procurement, real estate and workplace services, and global security functions and are expected to generate savings from process improvements and the need to deal with fewer suppliers.

“These new agreements will reduce the company’s number of suppliers worldwide from hundreds down to just a few high-capability global providers and service suppliers,” said Jon Flaxman, executive vice president and chief administrative officer, HP. “We believe this will help improve shareholder value and create significant savings that can be reinvested in growth opportunities for HP.”

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.