SYBASE AND COMPAQ SIGN AGREEMENT TO DELIVER CLIENT/SERVER SOLUTIONS
OPTIMIZED FOR COMPAQ SERVERS

USF&G Insurance Corp., a Fortune 500 Firm, to Deploy Mission Critical
Applications Built with Sybase Software Running on Compaq Servers

DALLAS, TX, MAY 15,1995 -- Sybase, Inc., The Enterprise Client/Server
Company, and Compaq Computer Corporation, the world's largest supplier of
industry standard servers, today announced an agreement designed to
deliver proven, integrated client/server computing platforms. Sybase and
Compaq will work together on joint engineering, channel, marketing, and
support projects to provide customers with Sybase software solutions that
are optimized for Compaq's line of application servers.

Today's announcement reflects an increased commitment to the existing
relationship between the two companies and is intended to strengthen their
strong positions in the client/server arena from desktop to enterprise
solutions. Sybase will use Compaq servers as a development platform for
Windows NT, NetWare, SCO Unix, and Novell UnixWare.

A performance lab is being built at Sybase's headquarters -- expected to be
opened by June 1995 -- which will be staffed by employees from both
companies. The lab's charter is to perform usability and performance
testing. Sybase and Compaq channel plans include cross training and
teaming some of the 1400+ Sybase Open Solutions Partners with Compaq
resellers to provide complete optimized solutions for small, medium, and
large organizations.

Dennis McEvoy, vice-president, products group at Sybase said, "We selected
Compaq as our development platform because of its strong commitment to
client/server solutions -- all the way from the desktop to the enterprise
-- and the breadth of operating systems supported by Compaq servers. Our
goal is to provide customers with the highest levels of client/server
performance and reliability."

Gene Austin, Compaq's vice-president, Systems Division, said, "Working with
Sybase, a recognized leader in the client/server database market, will
allow us to develop improved database solutions with proven
interoperability and address our mutual customers' integration,
performance, compatibility, and support requirements."

Fortune 500 Company Chooses Sybase and Compaq

USF&G Corporation, a full service property and casualty insurance company
with $14 billion in assets, recently signed an agreement with Sybase in
which they purchased the System 10 components SQL Server, Replication
Server, and OmniSQL Gateway. All of USF&G's next generation
mission-critical applications will be built around Sybase software using
Compaq Proliant servers and Microsoft Windows NT operating system.

Ron Shelby, assistant vice president, information management division,
USF&G said, "We chose Sybase and Compaq because of the strength of their
respective products and technologies, and Sybase's ability to scale to
large databases we may need in the future. Sybase provides superior
replication and connectivity solutions for rapidly changing business
requirements."

Shelby continued, "We plan to run SQL Server on Compaq Proliants running
Microsoft Windows NT and use this platform to create mission-critical
policy writing systems that underwrite and issue new policies to
businesses we insure. I'm delighted to see that Sybase and Compaq have
executed a formal agreement designed to ensure we receive the highest
reliability and performance from our software and hardware choices."

Details of the Agreement

As a result of the signing of the agreement, Sybase and Compaq will work
together on joint marketing activities and deliver optimized client/server
solutions by:

* Establishing Compaq as a development platform for Sybase software
  running under Windows NT, NetWare, SCO Unix, and Novell UnixWare
  operating systems.
* Performing TPC-C application and customer benchmarking tests.
* Developing optimization and tuning guidelines for use in White
  Papers and Tech Notes.
* Performing usability, integration, and certification testing.
* Working with Independent Software Vendors (ISVs) to optimize
  and improve performance.
* Working with major customer accounts on integration, scalability,
  and performance requirements.
* Resolving technical problems between Sybase software and Compaq
  systems.
* Impacting future direction and development of Sybase and Compaq
  client/server solutions.
* Providing cross-training to select Sybase and Compaq engineering
  and sales personnel.

Sybase, Inc.

Sybase, Inc., is the worldwide leader in client/server software. Sybase is
focused in the four major client/server categories: databases, tools,
database systems management, and interoperability, providing desktop to
enterprise scalability. The company's mission is to provide its customers
with an open, adaptable information systems architecture that enables
rapid business change. Headquartered in Emeryville, CA, Sybase is the
seventh largest independent software company in the world.

Compaq Computer Corporation

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.

Sybase Inc
6475 Christie Ave
Emeryville, CA 04608
510-596-3500;  Fax: 510-658-9441

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