Compaq to Deploy Oracle Internet Procurement Globally; Compaq and Oracle Provide Leading E-Business Solutions on Microsoft Windows NT and Compaq Tru64 UNIX.

HOUSTON and REDWOOD SHORES, Calif.--(BUSINESS WIRE)--Oct. 7, 1999--

Compaq(R) Computer Corporation (NYSE:CPQ) and Oracle Corporation (NASDAQ:ORCL) today announced that Compaq has chosen to deploy Oracle's Internet Procurement suite on its Compaq ProLiant servers and Compaq AlphaServers as part of its internal NonStop(TM) eBusiness infrastructure. Additionally, Compaq and Oracle plan to jointly test, optimize and market Oracle(R) Internet Procurement solutions in Microsoft(R) Windows NT(R) and Compaq Tru64 UNIX operating environments. Compaq Services plans to work with Oracle Consulting to develop best practices that will be delivered to customers through professional services.

"By implementing this solution internally we will streamline our general procurement process, which will translate into significant savings," said Ed Straw, Senior Vice President, Supply Chain Management, Compaq. "The spending data that can be mined with Oracle Internet Procurement will enable our procurement team to focus on supplier consolidation and volume leveraging opportunities."

Purchased products and services are the single largest expense of most organizations, accounting for as much as 55 percent of revenue (Source: Aberdeen Group, "Strategic Procurement: The Next Wave of Procurement Automation," July 1999). Compaq recognizes General and Administrative spending as a strategic business opportunity and will use Oracle's Internet Procurement to leverage its enterprise-wide spending. The solution will enable Compaq to acquire general and administrative goods and services at the lowest total cost by automating the entire purchasing lifecycle including planning, procurement and payment - all via the Internet.

Compaq and Oracle Internet Procurement -A Winning Combination for Customers

Customers who deploy Oracle Internet Procurement on Compaq ProLiant servers or Compaq AlphaServers can expect to receive the benefits of proven procurement solutions on one of the industry's most available and reliable platforms, tested and optimized onsite at Compaq and backed by experienced service professionals. Compaq and Oracle intend to leverage Compaq's leadership in 64-bit, clustered Tru64 UNIX solutions to provide unmatched reliability, performance and availability in customer offerings.

"As top-tier strategic-platform partners, Compaq and Oracle collaborate to bring our mutual customers industry-leading Internet-based solutions," said Michael Capellas, President and Chief Executive Officer, Compaq Computer Corporation. "Oracle's Internet applications, such as Oracle Internet Procurement, are key to Compaq's NonStop(TM) eBusiness enterprise strategy. Additionally, our internal experiences with Oracle Internet Procurement will enable us to offer our customers fast deployment and significantly reduced risk when they use the combined Compaq and Oracle Internet Procurement solutions."

With Oracle Internet Procurement, customers can confidently replace or integrate existing procurement processes with streamlined e-Business processes, resulting in significant savings. This world-class solution helps companies lower procurement costs with complete purchasing activity analysis, 100 percent procure-to-pay process automation, and full support for procurement processes.

"We are extremely pleased with the Oracle and Compaq joint strategy for deploying and offering Internet Procurement," said Raymond J. Lane, President and Chief Operating Officer, Oracle Corporation. "By using Oracle Internet Procurement on Compaq ProLiant servers and Compaq AlphaServers, our mutual customers can transform their procurement processes into an e-Business weapon by quickly and easily streamlining processes, empowering employees, analyzing corporate data and forging effective relationships with suppliers."

For More Information

For more information on the Compaq and Oracle eCommerce solutions, please visit http://www.compaq.com/strategy/partners/oracle.html.

Compaq Background

Compaq Computer Corporation, a Fortune Global 100 company, is the second largest computer company in the world and the largest global supplier of computer systems. Compaq develops and markets hardware, software, solutions, and services, including industry-leading enterprise computing solutions, fault-tolerant business-critical solutions, enterprise and network storage solutions, commercial desktop and portable products and consumer PCs. The company is an industry leader in environmentally friendly programs and business practices. 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 are available at http://www.compaq.com.

Oracle Background

Oracle Corporation is the world's leading supplier of software for information management, and the world's second largest independent software company. With annual revenues of over $9.1 billion, the company offers its database, tools and application products, along with related consulting, education, and support services, in more than 145 countries around the world. For more information about Oracle Corporation, please call 650/506-7000. The Oracle World Wide Web address is (URL) http://www.oracle.com

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