COMPAQ LOWERS PRICES UP TO 23 PERCENT ON BUSINESS DESKTOP PERSONAL
COMPUTERS -- EIGHT NEW PENTIUM MODELS ADDED TO FLAGSHIP DESKPRO XL SERIES

NEW YORK CITY, March 8, 1995 -- Concurrent with its largest business
product introduction ever, Compaq Computer Corporation (NYSE:CPQ) today
lowered U.S. prices on some of its most popular business desktop personal
computers by up to 23 percent. The price reductions affect 66 models of
the Compaq Deskpro XL, Compaq Deskpro XE and Compaq ProLinea families.

The highlights of the price reductions are listed below:

Compaq Deskpro XL

Current models of the flagship Compaq Deskpro XL family, which will remain
the higher end of the desktop product line, were reduced in price from 8
to 14 percent. Prices for these models with hard drives now start at less
than $2,100 (NOTE 1). Most of the price reductions for the Compaq Deskpro
XL line affect current Pentium-based models. In addition, Compaq today
added eight new 75 and 100 MHz Pentium-based models to this high
performance line. All Deskpro XL models are value-packed with 16-megabytes
of RAM and a host of outstanding standard features, such as: Compaq
TriFlex/PCI; a PCI Local bus with an integrated 32-bit Ethernet controller
and 32-bit Fast SCSI-2 controller; QVision graphics; 2 megabytes of video
RAM; integrated Business Audio; and a Vocalyst Keyboard.

Compaq Deskpro XE

Models of the Compaq Deskpro XE family, which are being replaced by the new
Deskpro products introduced today, were reduced in price from 8 to 23
percent. These products will be available while supplies last. The
486-based Compaq Deskpro XE with a 170 MB hard drive now starts at about
$1,199.

Compaq ProLinea

The current Compaq ProLinea desktop and mini-tower products were reduced in
price from 5 to 18 percent to align them with the newer models that were
announced today. Current Compaq ProLinea models with a 270 MB hard drive
now start at about $1,049.

Memory Options

Compaq today also lowered prices of its most popular memory options for
both desktops and servers by as much as 36 percent.

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, and Prodigy, or by calling
1-800-345-1518.

NOTE 1: All pricing listed is estimated selling price; actual pricing will
vary.

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