CDW-G to Provide Microsoft Enterprise Software to Navy Installations Abroad; Enterprise Agreement Will Standardize Software Across 16 Naval Bases, Enhance Security.

HERNDON, Va. -- CDW Government, Inc. (CDW-G), the government and education subsidiary of CDW Corporation (NASDAQ:CDWC) and leading supplier of brand-name Information Technology (IT) products and services to governments and educators, announced today that it has been awarded a three-year enterprise software agreement to deliver Microsoft software to the U.S. Navy. The contract was awarded by the Space and Naval Warfare Systems Command (SPAWAR) on behalf of its organizational partner, the Program Executive Office for C4I and Space. The agreement, which includes one base year and two option years, is worth $11 million if all options are exercised.

Under the enterprise agreement, CDW-G will provide Microsoft software for 28,000 Navy desktops and 884 servers in the Naval Network Warfare Command (NETWARCOM) OCONUS Navy Enterprise Network (ONE-NET), which covers Navy installations outside the continental United States. ONE-NET is replacing most of the Navy's disparate systems overseas with one network covering 16 shore installations in Europe, the Middle East and the Far East.

The agreement will allow the Navy to consolidate software purchasing across its overseas installations, ensuring that every installation is using the same, up-to-date software and securing best value pricing. By consolidating software purchasing, the Navy estimates that during the course of the three-year agreement, it will save about 25 percent of its current software expenditures across the Navy's OCONUS enterprise.

The agreement also meets the Navy's ONE-NET requirement to standardize on common desktop and server configurations in an effort to enhance security and IT management and improve mission performance using IT support tools. The agreement also benefits the Navy by relieving IT engineers from redundant procurement and software management processes, allowing them to instead focus on developing and deploying the best, most secure IT infrastructure for Navy sailors and civilians overseas.

"By consolidating software purchases, the Navy will benefit from increased information sharing capabilities and at the same time reduce the man-hours needed to maintain disparate software applications across the global enterprise," said Max Peterson, CDW-G vice president of federal sales. "CDW-G's experience with enterprise licensing agreements and tools like our Software License Tracker have helped many federal agencies ensure licensing compliance while saving time and money managing their software assets."

The agreement will further improve Navy IT management by providing visibility into software purchasing and deployment across the enterprise. By allowing the Navy to deploy software at will in a crisis or for contingency planning, the agreement will allow program offices to respond immediately to serious situations affecting sailors, marines and civilians - without taking vital time away from their missions in order to first complete the purchasing process.

"This enterprise agreement allows the Navy to quickly move to newer and increasingly secure software solutions, ensuring that all users benefit from up-to-date IT capabilities," said Curt Kolcun, general manager of Microsoft Federal. "This contract is a continuation of our efforts to work closely with our customers in all of the military services on enterprise agreements that offer configurations that help simplify management of their complex, global, mission-critical enterprises."

Under the agreement, CDW-G will provide the following Microsoft software:

--Microsoft Exchange(TM) Server

--Microsoft Identity Integration Server

--Microsoft Internet Security and Acceleration Server

--Microsoft SharePoint(R) Portal Server

--Microsoft SQL(R) Server(TM)

--Microsoft Windows(R) Server

The agreement also includes purchase of the DOD Enterprise Software Initiative (ESI) Enhanced Desktop Pro bundle.

Individuals serving in the Navy will also benefit from the Home Use Program, through which they can purchase the Office Professional software suite for a personal computer for less than $25.

The agreement has been evaluated by the Defense Department Enterprise Software Initiative (ESI), which found that it provides business value with a high return on investment (ROI) and improved IT management. The ESI is a joint Defense Department project to identify, acquire, distribute and manage enterprise software, with the goal of saving money and improving information sharing across the department. CDW-G's Defense Department ESI blanket purchase agreement, N00104-02-A-ZE85, is open for orders from all eligible federal government customers.

About CDW-G

CDW Government, Inc. (CDW-G), a wholly owned subsidiary of CDW Corporation (NASDAQ:CDWC), a FORTUNE 500 company, is a trusted technology advisor and solutions provider to federal, state and local government agencies, as well as to educational institutions at all levels. CDW-G responds with a sense of urgency to customer technology needs, delivering best-in-class solutions from top-name brands such as APC, Apple, Cisco, HP, IBM, Microsoft, Sony, Symantec, Toshiba and ViewSonic. CDW-G focuses on building strong customer relationships with its knowledgeable account managers and technical specialists who provide extensive pre- and post-sales support.

For more information about CDW-G product offerings, procurement options, services and solutions, call 1.800.863.4239, or visit the CDW-G Web site at CDWG.com.