Press Release:

HP Brings High-speed Digital Benefits to On-demand Label Printing

HP Indigo Press ws4000 with Full Finishing Options Featured in Live Demonstrations at Labelexpo 2002

HP (NYSE: HPQ) today announced the official release of the HP Indigo Press ws4000, a seven-color label press designed to cost-effectively produce short and medium runs of high-quality labels on demand and at much higher speeds than previous models.

"The HP Indigo Press ws4000 represents an enormous step forward for label converters," said Rick Mangold, general manager, HP Indigo North America. "Its speed, quality and variable data capabilities allow label printers and converters to react immediately and profitably to new business trends. This is an industrial-strength machine, capable of delivering 24x7 production."

Like the original HP Indigo Press ws2000 (formerly the Indigo Omnius WebStream), the newly launched HP Indigo Press ws4000 has an all-digital workflow that eliminates time spent on films, plates and setup. Throug HP ut is further enhanced with the press' Series II print engine, which enables it to reach print speeds of 52.5 feet per minute for full color labels or 105 feet per minute for two-color labels.

The HP Indigo Press ws4000 includes a variety of compatible finishing processes -- from digital die cutting and UV overvarnish to cold-foil stamping. Additionally, its advanced variable data capabilities allow easy updating of text and images for each individual label. This makes it ideal for printing prices and serial numbers, as well as testing product names and designs.

"The commercial release of this high-speed label press is in keeping with HP's new 'Impressions' approach to digital printing, which enables our customers to better create, communicate and connect," said Bill McGlynn, vice president and general manager, HP Digital Publishing Solutions. "We are providing label printers a major new business opportunity to significantly increase their profitability on short to moderate runs and fast turnaround jobs."

Financing for the purchase of an HP Indigo Press ws4000, software and installation services can be arranged with HP Financial Services. Customers can take advantage of a variety of financing programs with flexible 36-, 48- or 60-month contract terms as well as trade-up options.

According to Ralph Koopman, founder, owner and managing director of RAKO Etiketten GmbH & Co., a major German label producer that served as a European beta site for the HP Indigo Press ws4000, enhanced speed is a major advantage, as is the ability to print on a wide range of adhesive materials and flexible packaging films. "We believe that the future -- in combination with faster printing possibilities -- lies in digital printing," he said.

Altrif Label was the first company to order an HP Indigo Press ws4000, citing such advantages as exceptional color quality as well as the ability to handle short runs and quick turnarounds. One of the largest manufacturers of self-adhesive labels in Europe, the Dutch firm has ordered two of the new presses.

"At Altrif, we try to provide our customers with the best quality product, and our existing equipment had difficulty printing more than four colors," said F.P. Doomen, one of Altrif Label's directors. "The HP Indigo system's near-offset quality and special inks that enable seven-color printing, including special Pantone spot colors, were a compelling combination."

Canadian label producer Imprimerie Ste-Julie, which has three HP Indigo Press ws2000's, was the first North American beta site for the HP Indigo Press ws4000. "For us, customer satisfaction is the most important result of any investment in technology," said Jean-Maurice Fournier, president, Imprimerie Ste-Julie. "Customers who decide to have pressure-sensitive labels printed on our HP Indigo digital color presses are extremely pleased with the results, which they feel are more attractive and convey their messages with greater style."

In the United States, Flexible Technologies in Orem, Utah, has been a beta site for the HP Indigo Press ws4000 since mid-August. The company currently uses an HP Indigo Press ws2000 to produce high-quality labels for customers in the health and beauty and nutritional industries and will use the ws4000 press for the same purposes "although at a much higher production rate and with higher overall quality, which is a key issue for us," said Maui Chai, president, Flexible Technologies.

"Our customers expect us to stay at the forefront of printing technology and the HP Indigo Press ws4000 represents our ongoing commitment to providing them with the utmost in printing flexibility," said Chai.

About HP

HP is a leading global provider of products, technologies, solutions and services to consumers and businesses. The company's offerings span IT infrastructure, personal computing and access devices, global services and imaging and printing. HP completed its merger transaction involving Compaq Computer Corp. on May 3, 2002. More information about HP is available at

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 market for the sale of certain products and services may not develop as expected; that development 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 April 30, 2002 and reports filed subsequent to HP's annual report on Form 10-K, as amended on January 30, 2002, for the fiscal year ended October 31, 2001. 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 and does not intend 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