Compaq Introduces New Pentium Desktop Computers For Businesses; Announces Intent to Use New 133-Megahertz Pentium Processor in Desktops, Servers.

HOUSTON--(BUSINESS WIRE)--June 12, 1995--Compaq Computer Corporation (NYSE:CPQ) today expanded its flagship Compaq Deskpro XL line by introducing new desktop models based on the recently introduced Intel 120-megahertz Pentium microprocessor.

Models of the new Compaq Deskpro XL 5120, available in quantity today, round out the flagship desktop line designed for the most demanding business applications, such as computer-aided design and sophisticated financial analysis. It is the first product in its class to use the 120MHz Pentium processor. The new models, which start at $3,950(a), are about 15 percent faster than models using 100MHz Pentium processors.

In a related move, Compaq announced its intent to offer both desktops and servers based on the new 133MHz Pentium processor, which was announced today by Intel Corporation. Compaq will deliver a variety of new products based on this new Pentium processor later this year.

"Compaq was one of the first companies to use the Pentium processor and today we continue to offer the broadest line of Pentium-based models," said John T. Rose, Compaq senior vice president and general manager, Desktop Division. "In fact, more than half of our desktops -- commercial and consumer -- and virtually all of our servers currently being shipped in the U.S. are Pentium-based."

Models of the 120MHz Compaq Deskpro XL include 16 megabytes of random access memory, a 256-kilobyte secondary cache, a one gigabyte SCSI hard drive, the TriFlex/PCI, EISA and PCI local bus architectures, an integrated network controller and high performance graphics -- all as standard. The entire line of products is upgradeable to Intel's next generation processor and comes with a full complement of service and support programs, including a three-year limited warranty and around-the-clock technical support.

The Compaq Deskpro XL line also features several technology advancements, such as the SilentCool Fan that significantly reduces noise and increases cooling for all PC components, and the Compaq Vocalyst Keyboard that includes an integrated high-fidelity speakerphone and microphone. The products include SafeStart, a unique virus detection program for a first-line defense against potential data corruption from computer viruses.

In March Compaq announced the ProLiant 1500 5/120, one of the first high availability servers to use the 120MHz Pentium processor.

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. -0-

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(a) Estimated selling price; reseller pricing may vary.

CONTACT: Mike Berman Martha Papalia

Compaq Computer Corporation Miller Communications

713/374-0484 617/536-0470