Arrow Electronics Poised to Meet Resellers' Needs in New HP Channel.

Business Editors/High-Tech Writers

HP World 2002

Booth No. 605

LOS ANGELES--(BUSINESS WIRE)--Sept. 25, 2002

The SBM Division of Arrow Electronics, Inc. (NYSE:ARW), one of the largest value-added distributors of HP enterprise products and integration services, today announced that it is the distributor who is best positioned to meet the needs of HP resellers once HP announces its new channel programs.

Arrow made the announcement from the floor of HP World in Los Angeles, where it is exhibiting with five HP Value Integrated Partners in booth #605.

"Because we have the entire line of HP and pre-merger Compaq products on our line card, our expertise in the specific processes and products of HP and Compaq is unmatched," said Charlie McPherson, vice president, SBM Division, Arrow Electronics. "The whole foundation of Arrow's existence is to do what it takes to help resellers grow their businesses. Because of Arrow's historical relationship as a partner of both HP and Compaq enterprise products dating back to the early nineties, Arrow has one of the deepest bases of knowledge of anyone in the field. Plus, Arrow offers resellers unique revenue-generating programs that are unmatched by any other distributor."

Arrow HP and former Compaq resellers benefit from many unique offerings, including:

-- ArrowDynamics, the industry's most robust "toolbox" of value-added services designed to seamlessly augment HP resellers' capabilities and provide additional resources in the business areas that are critical to growth. With ArrowDynamics, resellers have the ability to identify and develop the right programs to accelerate business in critical areas, including finance, creative marketing, technical support, and education.

-- PowerStart, an activation program created exclusively for new HP resellers to deliver intensive business planning, demand creation and product training. In 2002, PowerStart trained 125 employees from over 30 new HP resellers on how to maneuver unfamiliar HP territory and bridge the gap between the time it takes from when they sign up with HP to when they start generating sales.

-- Arrow's Enterprise Storage Labs, the industry's first hands-on, multi-vendor facilities dedicated to increasing resellers' storage opportunities. By offering the broadest portfolio of storage products in two neutral lab settings, Arrow can replicate resellers' customers' computing environments so they can conduct system testing and validation, hands-on technical training and perform proof of design concepts. Arrow also offers access to its team of enterprise storage engineers and over 90 enterprise storage field technicians, giving resellers the resources to take on any-sized storage project.

-- Because Arrow is the only enterprise distributor that does not also operate a reseller business, Arrow resellers never have to worry that they may be sharing strategic information with a potential competitor.

"The new HP values the long-standing partnership with the SBM Division of Arrow Electronics. Resellers can rely on Arrow to provide predictable, best-in-class programs and services. Together, HP and Arrow provide resellers with the technology they need to help customers face today's challenging business and IT climates with leadership products across the enterprise, including servers, storage and software," said Dan Vertrees, vice president, Enterprise Partner Organization, HP Americas.

"Partnering with Arrow for training and marketing to get a jump start on our new HP business was great for NDS," said Steve Morrison, vice president of sales, Net Direct Systems (one of the first resellers to successfully complete Arrow's PowerStart program). "Through this partnership, Arrow provided superior value by helping us navigate through the HP process and market effectively to our customers."

About the North American Computer Products group of Arrow Electronics

The North American Computer Products group of Arrow Electronics, Inc. (NYSE:ARW) is a leading distributor of enterprise and embedded computing systems to reseller and OEM customers in North America. Based in Englewood, Colo., the group is comprised of four divisions that make up Enterprise Computing Solutions (Support Net, SBM, MOCA, Enterprise Storage Solutions) and the Arrow/Wyle Division, which serves industrial OEM customers.

Arrow Electronics is one of the world's largest distributors of electronic components and computer products and a leading provider of services to the electronics industry.