Compaq Establishes First Office and Service Centers in Southwest China.

CHENGDU, China--(BUSINESS WIRE)--May 31, 1995--In a move to expand its service and support throughout the fast-growing Chinese market, Compaq Computer Corporation (NYSE:CPQ) today announced the opening of an office and two service centers in Chengdu, located in Southwest China. The Chengdu office further strengthens Compaq's commitment to the Chinese computer market. According to IDC, Compaq is now the leading PC supplier in China with 22.7% marketshare in total unit shipments for 1994.

"Over the last number of years, the Chinese market has been a high priority in Compaq's global strategy, and we are delighted to be able to expand our operations into the Southwest China market," said Mr Lim Soon Hock, vice president and managing director of Compaq Computer Asia/Pacific. "Now that Compaq has truly established its position in the Chinese market, which represents the world's largest potential computer market, it is vital that we continue to provide our customers with the quality of service they have come to expect from Compaq."

"We recognize the strategic importance of the Southwest region of China and the Chengdu office opening represents our continued commitment to our growing base of customers throughout China," Mr Lim said.

"In order to provide our customers with quality service, Compaq currently plans to set up 36 after-sales authorized service centers during the next six months. These centers will be managed by highly qualified, Compaq-trained technicians and service engineers. They will also be equipped with the latest service tools and comprehensive spare parts," said Mr TC Hsi, managing director of Compaq Computer Hong Kong Limited, Beijing Representative Office. "Moreover, the three-year Compaq warranty service offered to users who buy their products through a Compaq reseller enables our customers to benefit from Compaq's high- quality, after-sales service."

Compaq's Other Developments in China

Compaq currently operates a 40,000-square-foot manufacturing facility in Shenzhen, China. The operation, a joint venture with Beijing Stone Corporation, began shipping products in August 1994.

Additionally, Compaq has established the Tsinghua University Training Center in Beijing. One of the top educational institutions in China, Tsinghua offers training on hardware architecture, operating systems, networking and computer applications to personnel from the government, corporations, institutions and the general public.

Company Background

Compaq Computer Corporation is the world's largest supplier of personal computers, offering desktop PCs, portable PCs, and servers. Founded in 1982, the company reported 1994 worldwide sales of $10.9 billion. Compaq products are sold and supported in more than 100 countries through a network of more than 38,000 Compaq marketing partners. Compaq also sells directly to customers through Compaq Direct Plus at 1-800-888-5858. Compaq provides 24-hour customer support and can be reached through the Compaq forums on America Online, CompuServe, Internet (http:\\www.compaq.com), and Prodigy, or by calling 1-800-345- 1518.

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