Press Release:

HP and LEGATO to Help Enterprises Tackle Electronic Mail Regulatory Requirements

Industry Leaders Combine Storage, Software and Services to Deliver Email Archiving Solutions

HP (NYSE:HPQ) and LEGATO Systems, Inc (NASDAQ: LGTO) today announced an expanded relationship to include the delivery of enterprise email archiving solutions to existing and new customers. The solutions are targeted toward organizations seeking to efficiently route, store, manage and retrieve electronic mail information, and to help meet the special needs of those facing heightened regulatory requirements.

"With the new requirements for archiving emails, companies are demanding more from their infrastructure and HP is delivering - more accountability, more agility and greater return on IT," said Bob Schultz, vice president, HP Network Storage Solutions. "Close collaboration with partners like LEGATO enables HP to address customer needs with valuable, business-oriented solutions. Together, the companies are creating a powerful customer solution and a premier channel to address the growing archiving market."

With the expanded relationship, HP is reselling LEGATO EmailXtender® as part of a solution for providing comprehensive data storage and retrieval for enterprise email. The EmailXtender family supports Microsoft® Exchange/Outlook, Lotus Notes/Domino, Bloomberg Mail and UNIX® Sendmail, as well as instant messaging.

"Having listened to our customers, HP and LEGATO will be extending our existing relationship to offer industry-leading active archiving solutions and services," said David B. Wright, chairman and chief executive officer, LEGATO Systems. "As email retention continues to be a high customer priority, both HP and LEGATO have individually announced offerings to help meet these demands. Our expanded relationship will provide us with the opportunity to deliver a comprehensive solution to assist organizations in meeting their email and messaging requirements."

By integrating HP Services, HP StorageWorks systems and software with LEGATO e-mail archiving software, solutions are now available to enable customer compliance with heightened regulatory requirements and meet increased accountability demands for corporate communications.

"Already faced with the daunting task of managing the explosive overflow of data due to the growth of instant messaging and email, IT departments now must rapidly adapt to meet strictly enforced regulations offering little room for error," said Robert Mahowald, Research Manager, IDC. "HP and LEGATO can offer enterprises scalable, mature, proven solutions that leverage HP StorageWorks products and professional service capabilities and LEGATO's archiving technologies to meet customers' email archiving needs."

In many industries, companies must implement comprehensive technologies to meet stringent archival regulations that include email. Sector, a subsidiary of the Securities Industry Automation Corporation (SIAC) and an HP Service Provider Partner, is working with both HP and LEGATO to help customers meet these requirements. Sector provides services that fully manage the lifecycle of the archives from collection, indexing, and archiving to retrieval.

"Together, Sector, HP, and LEGATO create a powerful solution for meeting regulatory compliance requirements," said Fred Del Gaudio, president and chief executive officer of Sector. "Working together, we're able to deliver a solution that collects, indexes, and archives broker/dealer's email to a fully compliant facility operated within the SIAC data centers. It demonstrates the capabilities of HP's partner-enabled business model."

HP and LEGATO now offer the HP/Legato Email Archiving and Management Service and the HP/Legato Data Archiving Service, delivered through HP Services. HP Services provides consulting and analysis, installation, configuration and knowledge transfer to ensure the successful implementation of the solution for archiving, record keeping and compliance management. Available initially in North America, the HP/Legato Email Archiving and Management Service and the HP/Legato Data Archiving Service will be expanded globally in the near future.

HP StorageWorks is the No. 1 global provider of total disk storage systems and the non-outsourced storage services market leader. HP's worldwide sales organization and HP Services bring proven expertise in the mail and messaging market with more than 12 million Microsoft Exchange seats deployed or under contract.

LEGATO claimed its own No. 1 position earlier this year with the release of EmailXtender 4.4 as the only solution that can speed up the retrieval process of email and instant messages by archiving both in a single repository.

For more information on HP's comprehensive Network Storage Services offerings, please visit More information on HP StorageWorks is available at


LEGATO Systems, Inc. (NASDAQ:LGTO) delivers worldwide enterprise class software solutions and services that keep the world's business-critical information and applications available. With a direct sales force and through strategic partnerships and alliances, LEGATO delivers the advantage of business continuance through enterprise automation with information protection, application availability as well as content, message and storage management solutions. The company's corporate headquarters are located at 2350 West El Camino Real, Mountain View, CA 94040 (650) 210-7000, fax: (650) 210-7032, Web site:

Information regarding products, services and offerings may be superseded by subsequent documents. For the latest information and specifications regarding LEGATO Systems, Inc. and any of its offerings or services, please contact your local sales office or the Corporate Headquarters.

About HP

HP delivers vital technology for business and life. The company's solutions span IT infrastructure, personal computing and access devices, global services and imaging and printing for consumers, enterprises and small and medium business. For the last four quarters, HP revenue totaled $70.4 billion. More information about HP is available at

LEGATO and the LEGATO logo are registered trademarks, and LEGATO NetWorker, NetWorker, SmartMedia, Co-StandbyServer, RepliStor, SnapShotServer, QuikStartz, AlphaStor, ClientPak, Xtender, XtenderSolutions, DiskXtender, ApplicationXtender, ArchiveXtender, EmailXtender, and EmailXaminer are trademarks or registered trademarks of LEGATO Systems, Inc. This is a nonexhaustive list of LEGATO trademarks, and other trademarks may be the property of their respective owners.

Microsoft is a US registered trademark of Microsoft Corporation.

UNIX is a registered trademark of The Open Group.

This press release contains certain forward-looking statements about LEGATO Systems' products and business relationships. These forward-looking statements involve a number of risks, uncertainties and assumptions about future events. Such risks, uncertainties and assumptions include, without limitation, LEGATO's ability to leverage its relationships with certain strategic alliances and the market for certain LEGATO products. For a more detailed discussion of these and other factors that could cause the LEGATO's actual results to vary materially, interested parties should review the "Risk Factors" listed in the LEGATO's Form 10-K for fiscal 2002 and the Form 10-Q for the first quarter of 2003, both of which are on file with the U.S. Securities and Exchange Commission. The forward-looking statements in this press release reflect LEGATO's beliefs and predictions as of June 2, 2003. LEGATO disclaims any obligation to update these forward-looking statements as a result of financial, business or any other developments occurring after June 2, 2003.

This news release contains forward-looking statements that involve risks, uncertainties and assumptions. All statements other than statements of historical fact are statements that could be deemed forward-looking statements. Risks, uncertainties and assumptions include the possibility that the proposed contract may not be entered into on the terms currently contemplated or at all; that the market for the sale of certain products and services may not develop as expected; that development and performance of these products and services may not proceed as planned; and other risks that are described from time to time in HP's Securities and Exchange Commission reports, including but not limited to HP's quarterly report on Form 10-Q for the quarter ended January 31, 2003, and subsequently filed reports. If any of these risks or uncertainties materializes or any of these assumptions proves incorrect, HP's results could differ materially from HP's expectations in these statements. HP assumes no obligation to update these forward-looking statements.

About HP

HP Inc. creates technology that makes life better for everyone, everywhere. Through our portfolio of printers, PCs, mobile devices, solutions, and services, we engineer experiences that amaze. More information about HP Inc. is available at