Compaq Begins Shipment of Popular Presario 3000 and 1000 Series Home PCs.

HOUSTON--(BUSINESS WIRE)--Oct. 24, 1996--

Presario 1000 Series Multimedia Notebooks Models Announced

Delivering on its promise to provide useful innovation to the home and family, Compaq Computer Corporation (NYSE: CPQ) today announced it has begun volume shipment of the industry's only full-featured flat panel desktop PC and the first family of Presario multimedia notebooks designed for the consumer market. Bringing greater design and flexibility to home computing, the award-winning "Ultimate Design" Presario 3020 and the innovative Presario 1010 and 1020 multimedia notebooks are now available on retail shelves in the U.S. The Presario 1030 is expected to begin shipment in early November.

"The new Presario 3000 Series and 1000 Series products have created attention right out of the gate, winning several awards and publication product reviews for design, innovation, functionality and performance -- even before they hit the store shelves," said Mike Larson, Compaq's Vice President for US Retail. "Now, consumers can experience for themselves what all the excitement is about."

Presario 3000 Series

A revolutionary multimedia desktop which offers the ultimate in PC design, the breakthrough Presario 3020 features a sleek design, attachable keyboard, integrated Double Bright flat panel display, 4-disk CD changer, and cordless mouse (complete with its own Mouse House). The Presario 3020 is designed to blend with any home decor and consumes 40 percent less space than most desktop PCs. With its compact design, light weight and built-in handle, the Presario 3020 offers "occasional mobility" and can be easily moved from room to room in the home.

In addition to being highly attractive and innovative, the Presario 3020 delivers powerful multimedia performance with super-fast 166 MHz Pentium processors, 256 KB of pipeline burst cache for memory intensive applications, 2.0 GB hard drive for data and software storage, and 33.6 Kbps Talk and Send DSVD Modem (a) for the fastest travel available on the Internet (over standard phone lines), and videophone-receive capabilities(b). The Presario 3020 is priced at approximately $3,499 (c) and is currently available at retail stores.

The Presario 1000 Series

In addition to announcing shipment of the Presario 3000 Series, Compaq also today announced product configurations for the new Presario 1000 Series (1010, 1020, 1030) -- the PC industry's first line of multimedia notebook PCs designed for the consumer market.

The combination of portability, affordability, excellent multimedia functionality and desktop performance makes the Presario 1000 Series the clear leader in the notebook consumer market. Each Presario 1000 Series consumer notebook features: a fast Intel Pentium processor; large hard drive; integrated CD-ROM drive; floppy diskette drive; 128-bit graphics controllers for responsive graphics performance and smooth full screen MPEG video playback; Easy Access Buttons to control CD audio functions; and powerful, "ported" speakers for a rich audio experience.

In addition to the standard Presario 1000 Series features, the industry's first line of consumer portables offers the following configurations:

-- The Presario 1010 features powerful desktop performance with a 120 MHz Intel Pentium processor, 16 MB of EDO RAM, an 810 MB hard drive, internal quad-speed CD-ROM drive, integrated floppy drive, and a CSTN SVGA flat panel display that features a 11.3-inch viewable area. The Presario 1010 is priced at approximately $2,499.

-- The Presario 1020 features a 120 MHz Pentium processor, 16 MB of EDO RAM, a large 1.08 GB hard drive, internal 6X CD-ROM drive, integrated floppy drive, an internal 33.6 K/14.4 Kbps data/fax modem, and a CSTN SVGA flat panel display that features an 11.3-inch viewable area. The Presario 1020 is priced at approximately $2,999.

-- The Presario 1030 features a fast 133 MHz Pentium processor, 16 MB of EDO RAM, a 1.44 GB hard drive, 6X-speed CD-ROM drive, integrated floppy drive, an internal 33.6 K/14.4 Kbps data/fax modem, and a rich and vibrant TFT SVGA (active matrix) flat panel display (11.3-inch viewable area). Providing extensive battery capabilities for the power user, the Presario 1030 is also available with a Lithium Ion battery. The Presario 1030 is priced at approximately $3,799 and is expected to be available at retail stores beginning in mid-November.

Availability

The Presario 3020, 1010 and 1020 PCs are available now at Compaq-authorized retail partners, including Best Buy, CompUSA, Computer City, Circuit City, Staples, Office Depot, and Office Max.

Awards

To date, The Compaq Presario 3000 and 1000 Series products have captured the following recognition:

-- Presario 3020, "Stellar" award, Windows Sources magazine

(October 1996)

-- Presario 3020, 4.5 (out of 5) "WinMag Box Scores," Windows

Magazine (October 1996)

-- Presario 3020, "MVP" finalist, PC/Computing (October 1996)

-- Presario 1000 Series, 4 (out of 4), Home PC (September 1996)

-- Presario 1010, "Top Rated" award, Family PC (October 1996).

Compaq Presario

The Presario 3000 and 1000 Series lines were announced in July and are part of Compaq's new line of Presario products that are designed for five groups of consumers: home and family users (Presario 4000 Series); home office customers (Presario 6000 Series); multimedia enthusiasts (Presario 8000 Series); the design-conscious (Presario 3000 Series); and mobile consumers (Presario 1000 Series). Prices range from $1,499 to $3,799.

Company Background

Compaq Computer Corporation, a Fortune 100 company, is the fifth largest computer company in the world and the largest global supplier of personal computers, delivering useful innovation through products that connect people with people and people with information. The company is an industry leader in environmentally friendly programs and business practices. Compaq is strategically organized to meet the current and future needs of its customers, offering Internet and enterprise computing solutions, networking products, commercial PC products and consumer PCs. As the leader in distributed enterprise solutions, Compaq has shipped approximately 1 million servers. In 1995, the company reported worldwide sales of $14.8 billion. Compaq products are sold and supported in more than 100 countries through a network of authorized Compaq marketing partners. Customer support and information about Compaq and its products can be found at http://www.compaq.com or by calling 1800-OK-COMPAQ. Product information and reseller locations can be obtained by calling 1-800-345-1518.

(a) Free DSVD software upgrade to add DSVD functionality late 1996. (b) Free videophone-receive software offer available late 1996. (c) All prices listed are estimated selling prices. Actual retail prices may vary.

Compaq, Registered U.S. Patent and Trademark Office. Product names mentioned herein may be trademarks and/or registered trademarks of their respective companies.

CONTACT: Compaq Computer Corporation

Brian Temple, 713/514-0484

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or

Miller/Shandwick Technologies

Wendy DeFeudis or Matt Lloyd, 617/536-0470

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