NEW-GENERATION COMPAQ CONTURA NOTEBOOK BUILDS ON THE SUCCESS OF
AWARD-WINNING SIBLING -- REFINED DESIGN OFFERS SAME GREAT VALUE, YET IS
EASIER TO USE AND EASIER TO CARRY

Compaq today announced: Compaq Contura 400 family -- the next generation of
Contura notebook PCs -- easier to use and carry, and with more functions,
features and upgradeability

New optional convenience bases, designed for effortless desktop
connectivity

HOUSTON, Sept. 19, 1994 -- Building on the reputation of the successful
Contura family of notebook PCs, Compaq Computer Corporation (NYSE:CPQ),
the world's leading supplier of portable PCs for the first half of 1994,
today introduced the new Compaq Contura 400 family. Designed specifically
for value-conscious users in both commercial and retail markets, the new
Contura 400 is a refinement of the successful Contura, engineered to
deliver the industry's best value in a full function/full size notebook
PC.

Advances in design, upgradability and functionality, together with
attractive pricing, make these new products lighter, easier to use, easier
to carry, and a better long-term value for portable PC users.
Acknowledging the trend of customer preference for color displays for
notebook PCs, the new family includes two 486DX2/40-based color models --
one active-matrix and one advanced passive-matrix.

"The new Contura 400 products give portable PC users the full notebook
functionality they require, the quality they demand and the ease-of-use
features they've dreamed of -- all at prices they can afford," said Hugh
Barnes, senior vice president and general manager, Compaq Portable PC
Division. "And thanks to some clever design elements, these notebooks are
now as easy to carry and to use as they are to own."

All models feature a long-lasting, industry-standard NiMH battery that
lasts 3.5 to 5.5 hours in typical use; a status panel showing current
battery life and other notebook conditions; two PCMCIA slots for enhanced
functionality and communications capability; and 4MB of memory
(upgradeable to 20 MB). A large center-mounted matte trackball just below
the space bar allows users to keep their hands on the keyboard as they use
the pointing device.

Weighing just 5.9 pounds, the Contura 400 is also substantially lighter
than the 6.5 to 7 pound competitive products in the same full-function
notebook category. And, with a new attachable handle, the Contura 400 is
significantly easier to carry. In addition, a new keyboard tilt feature
provides a four-degree angle tilt, making typing easier and more
comfortable, and the palm rest at the base of the keyboard also enhances
ease-of-use and comfort.

All Contura 400 models come standard with pre-installed Microsoft DOS 6.2,
Windows 3.1, Lotus Organizer, TabWorks, and On-Line Documentation &
Tutorials. Several models targeted specifically at consumers are sold
through leading retail outlets. These retail models also include
pre-installed MS Works, MS Entertainment Pack and America Online.

With prices ranging from $2,599 to $3,299 (NOTE 1), Contura 400 provides an
excellent value for portable users looking for an affordable easy-to-own
full-function notebook. Products are shipping worldwide today.

New Convenience Bases

For effortless desktop connectivity, customers can take advantage of the
new Compaq convenience base. This is a significant enhancement compared to
the original Contura family. Compaq offers two affordable convenience base
solutions: one replicates ports so that users can connect or disconnect
peripherals in one easy step ($179); the other is a network-ready
convenience base with port replication plus built-in Ethernet ($299),
offering an easy and low-cost connection to an Ethernet network with no
need to buy a separate netwrok interface card. In addition, the
low-profile design of the convenience base includes a monitor support that
allows customers to set up a "desktop equivalent" configuration with a
full-size keyboard and monitor. Both convenience bases also have a second
battery charger.

New Levels Of Upgradability

As a replacement to the award-winning Compaq Contura family, the Contura
400 offers both business users and consumers a broad range of
user-upgradeable features, including an easily-upgradeable hard drive; a
high performance advanced passive matrix display upgradeable by an
authorized service provider to color TFT, RAM expansion up to 20 MB, and
user-upgradeable Intel processors to go from the standard 486DX2/40 up to
486DX2/50. This is in addition to the upgradeability offered by two PCMCIA
slots which support modems, network cards, flash memory, storage, security
option cards and other devices.

Service and Support

Compaq offers one of the most aggressive and comprehensive support programs
in the industry. As with all Compaq portable products, the Contura 400
comes standard with a three-year parts and labor warranty through which
customers have the option to either carry in their portable computers to
an authorized service provider or have Compaq arrange for the pick-up,
repair and return of the products. Compaq also offers, as standard, 7x24
toll-free technical support for the product, and access to Compaq
technical support via CompuServe, Prodigy and America Online.

Product Line Background

Compaq offers different computers for different types of markets and
customers.

In the notebook marketplace, Compaq delivers computers through the retail
channels under the Compaq Contura brand and through the commercial
channels under the Compaq Contura and Compaq LTE Elite brands.

Company Background

Compaq Computer Corporation is a world leader in the manufacture of
servers, and desktop, portable, and notebook personal computers. Founded
in 1982, the Company reported 1993 worldwide revenues of $7.2 billion.
Compaq products are sold and supported in more than 100 countries through
a network of more than 31,000 Compaq marketing partners. Compaq also sells
directly to customers through COMPAQ DirectPlus at 1-800-888-5858. For
information on Compaq products, call 800-345-1518. Users needing technical
support for Compaq products can call 1-800-OKCOMPAQ.

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