Here is this months report. It is good to report solid momentum and good
morale in all regions and this report highlights a number of great
successes. Clearly we have had supply challenges so non-linear quarter
again, as you well know.  We shall be working September hard!

Regards
Peter



[Compaq Confidential - Internal Use Only]

Worldwide Sales & Services team:

My travel report this month spans the Americas - from our operations in
Latin America to those in Canada.  I had many opportunities to visit with
our sales and services employees as well as customers, partners, press and
analysts.  It's really great to have a role that brings me into regular
contact with employees and our external audiences - it's very exciting to
see how the momentum is building around the Corporation.

Latin America has been very successful in its direct and partner
initiatives, particularly in Argentina, where we are now 55% direct, and
Brazil which has 60% direct business.  Our LA e-Business Development team is
making tremendous strides to strategically position our business in the fast
growing Internet space, while opening up new and exciting revenue streams.
In just four months of existence, the team has completed several new
alliances with companies investing in the huge growth potential of the
Internet in the region.  Key alliances in this exciting new "ecosystem"
include:

Diveo, a provider of integrated hosting and security services, secures
Compaq's position as preferred vendor for this potentially huge customer.
It also allows us to offer critical enabling services that will accelerate
the adoption of the Internet and many valuable services in the region.

We entered a strategic alliance agreement with Artikos, a joint venture
between Commerce One and Banamex, the largest bank in Mexico.  The terms of
the alliance permit Compaq to sell the Commerce One solution to the many
off-line and on-line companies investing in B2B marketplaces.  It also
positions us to participate as strategic partners in new marketplaces being
formed by established brick-and-mortar players.

Our strategic alliance with Terra, a leading regional portal, has begun to
generate exciting new revenue streams stemming from a customer
acquisition/traffic arrangement using our Presario keyboard buttons.  In
just four months of operation, we successfully sent 12 million visitors to
the Terra portal and gained from traffic and revenue sharing arrangements
that form part of the alliance.

Patagon.com - Our first Internet alliance, at a time when few, if any,
companies recognized the Internet's potential in Latin America, continues to
pay important dividends.  Patagon.com has grown to become the leading
financial portal in LA with the help of Compaq technology.  We also are
helping sustain Patagon's growth in the market through a revenue generating
traffic alliance that links our customers to Patagon's portal through our
easy access keyboard buttons.

In the coming months, you will surely be hearing more about these and other
new alliances that are transforming Compaq into a leading e-business in the
region.

Canadian highlights
My trip north yielded not only relief from the Texas heat, but also many
other great examples of progress that contributed to our Q2 results.  As you
probably know, David Booth, a 13-year veteran with Compaq and Digital, was
named President and Managing Director of our Canada operations in May.  In
Q2, the region increased their profits by 88% over Q299 and helped return
CPCG to profitability.  Earlier this year, Compaq Canada launched eStore
operations, and with other direct enhancements, expects to be 85% direct by
the end of this year.  Their Consumer Call Centre is racking up awards too -
both as Compaq Call Center of the Year, and from Call Center Magazine as the
High Technology Call Center of the Year.  Product awards in Canada include:
 - ProLiant server received Computer Dealer News' 2000 Reseller
Choice Award
 - Deskpro PC received ChannelLine Magazine's 2000 ChannelLine
Champs Award
 - Aero/iPAQ Pocket PCs became the first monitoring devices for
diabetes in the world through Charles H. Best Diabetes Centre

And last, but certainly not least, some great wins:  Banque Nationale, $2.1M
for Himalaya systems and services; Province of New Brunswick, $2M for MS
Exchange; Capital Health Region, $2M Deskpro/Armada PCs; Lotto Quebec, $1.5M
for Himalaya systems; CanJet, $1.5M for ProLiant servers; SoftChoice, $800K
for SANs; Ontario Lottery Corporation, $800K ProLiant servers; University of
Toronto, $790K Alpha Cluster; SaskTel, $700K Deskpro PCs; and Atlantic
Health Science Centre,  $500K AlphaServer systems
.

World's fastest and most powerful supercomputer
Today we are announcing that the U.S. Department of Energy's National
Nuclear Security Administration (NNSA) has selected Compaq to build the
world's fastest and most powerful supercomputer, a 30+ TeraOPS system
code-named "Q."  The contract is valued at more than $200M, and the
supercomputer will be housed at the Los Alamos National Laboratory in Los
Alamos, New Mexico.  The supercomputer will support NNSA's integrated
program of surveillance, experiments, non-nuclear tests, archived data,
modeling and simulation to assess and certify the safety, security and
reliability of nuclear weapons without underground nuclear testing.

The supercomputer will consist initially of some 375 AlphaServer GS320
systems (approximately 12,000 Alpha processors) with EV68 CPUs running in
excess of 1,250 MHz on our Tru64UNIX operating system.  Almost the size of
five basketball courts (more than 21,000 square feet), the system will have
more than 600 terabytes of Compaq StorageWorks storage, and receive onsite
24x7 service and support.  This major win, plus other recent wins (see
National Science Foundation below) are expected to establish Compaq as the
No. 1 provider in the high performance technical systems and servers
marketplace before the end of this year.  A great recognition for Compaq,
the Business Critical Server Group, and the outstanding sales teams!

Our other largest wins this month were:
Alcatel Telecom (France) - $60M global upgrade for billing system based on
AlphaServers running Tru64 UNIX-based NECTAR middleware.  Alcatel builds
next-generation networks in more than 130 countries
BMC Software (U.S.) - Beat Dell and HP for a $13 M desktop, portable and
Professional Workstation contract
The Cabinet Office (U.K.) - Beat Logica and Admiral for a five-year, $32M
contract in which we were named prime contractor to design, build and
operate IT infrastructure. Deal also includes ProLiant servers, Deskpro PCs,
StorageWorks ESA 12000 systems and Insight Manager
<http://newscpq1.inline.cpqcorp.net/article.cfm?storyid=952>
Caixa Geral de Depositos - $11.8M for software installation of software and
support for computing infrastructure
Cleveland Clinic Health System - Topped IBM and HP for a three-year, $12M
iPAQ contract
EDF (France) - Beat Dell, IBM and HP for a 12-month, $50M contract for
70,000 Deskpro PCs
International Paper (U.S.) - Beat IBM for $12.6M contract for hardware,
software, Professional Services and Customer Services
Korea Telecom - 18-month, $15.6M contract for 20 AlphaServer GS140 systems
and 21.6TB of StorageWorks ESA12000, marking the largest AlphaServer order
in APD history
KPMG (AUNZ) - Two-year, $20M contract for notebooks, desktops and servers
KPMG (EMEA) - Beat CAP Gemini, EDS and IBM for a five-year, $24M helpdesk
services contract for U.K., Holland and France, with nine other countries to
follow
Ministry of Education (Colombia) - Beat IBM, HP, Acer and Unisys for a $22M
contract to deploy 10,300 Deskpro PCs and 650 ProLiant servers in Internet
classrooms <http://newscpq1.inline.cpqcorp.net/article.cfm?storyid=970>
National Science Foundation (U.S.) - Compaq and the Pittsburgh
Supercomputing Center won a $45M contract over IBM to build and manage the
world's largest non-military supercomputer
<http://newscpq1.inline.cpqcorp.net/article.cfm?storyid=926>
Verizon Communications (U.S.) - Beat IBM for a $13.6M desktop PC contract

International Data Corp:  Compaq 'on the up'
If you haven't seen the recent study by IDC, titled Compaq's Strategy: Past
and Future, it's recommended reading
<http://weblib.lkg.dec.com/IDC/JP84G.htm>.  It states simplification, a
customer-centric approach, information access products and a clarified
channel strategy are keys to Compaq's comeback.  Preliminary 2Q market share
figures from IDC also confirm our progress in a number of other key areas.
For example:
 * Compaq led the WW PC server market with 30.2%, more than the
No. 2 (Dell) and No. 3 (IBM) vendors combined
 * We ranked second in WW portables, with 12.8%, up 2.2 points
Q/Q
 * In Japan, we moved up to No. 7 position, past Apple, in
total PCs, and regained our No. 2 server position from Fujitsu-Siemens, with
a 13.5% share
 * In Asia Pacific, we passed HP in desktops, moving up to No.
4
 * And according to DataQuest, EMEA achieved the No. 1 Consumer
ranking in Western Europe with a 13.4% share, growing twice as fast as the
market
For more information about the preliminary market share results of 2Q, or
our final results in 1Q, check the links at
<http://inline.compaq.com/wwss/facts.asp>

Winning news from Global Accounts
Our Global Accounts team not only wins new business, but also accolades for
its videos and CDs that are used to help win business.  Trophies include two
at the AXIEM (Absolute Excellence in Electronic Media) Awards in the U.S.,
and the Telly Awards for non-network broadcasts, comparable to a U.S. TV
show winning an Emmy.
<http://newscpq1.inline.cpqcorp.net/article.cfm?storyid=968>

Service Provider/.com wins
Data Return, a leading global provider of advanced managed hosting services,
was recognized by Microsoft as "Global Hosting Partner of the Year" during
the Fusion 2000 Awards Banquet. The award noted Data Return's ongoing work
with the Windows 2000 team in developing managed hosting solutions for
customers whose applications are based on the Microsoft platform. This
represents a tremendous win for Compaq as well, since Data Return is using
Compaq hardware and services exclusively for its hosting services.

On July 31st, Compaq, Microsoft, Digex and IDC launched a series of Webcasts
to help educate Compaq Field Sales and the Compaq/Microsoft Channel. The
series, presented by a top IDC analyst, emphasized the tremendous market
opportunity within the ASP market. Based on the overwhelming participation
and positive feedback, there is a strong interest in learning more about the
ASP market. The second in the series will be presented September 7. To
register, call 800-289-0579 (outside US 719-457-2550).

Coconut.com, an ASP in the UK initially offering mail and messaging, has
named Compaq its key partner.  The solution, heavily leveraged around our
Professional Services capability, is Alpha and StorageWorks running
Software.com's suite of carrier-grade mail and messaging products.  The
infrastructure will be managed by eBMS.  HP had been working on this for 18
months, and Compaq got engaged the day before they were about to sign the
deal.  Seven weeks later HP was told they had lost the opportunity.  The key
to our success was a partnering approach to help them with their business,
not just to sell them tin.  The near-term opportunity is $5M, with up to
$25M over 5 years.  Congratulations to the UK team!

Great Compaq Financial Services deals
Supply Access - CFS is providing a $6.5M financing facility on Alpha and NT
servers for this service provider, owned by En Point, one of Compaq's
largest resellers in California.  The deal, which displaced HP and HP
Finance, includes a two-year exclusivity agreement.

Avantel - CFS also completed a $3.5M deal to refresh the installed base of
Avantel's existing Compaq desktops and servers in Mexico.  While Avantel is
a longtime Compaq customer, the inclusion of Compaq Financial Services
enabled a complex sale and lease back arrangement for the acquisition of
Compaq equipment, with opportunities for ongoing contact with the customer.

Roundup of Storage news
As you may have noticed from the earnings news, the Storage Product Group
had a strong Q2, with profitability of $179M, up 45% from last year.  SPG
delivered 11.8% of Compaq's net sales, 17.8% of total gross margin, and a
whopping 31.6 % of Compaq's operating income. Other news from the Storage
front includes:
 * A SANworks print ad campaign, directed at corporate CIOs,
started on July 10th and will be running for several weeks. The ads direct
customers to a Web companion page for more information, go to
<http://www.compaq.com/sanworks>.
 * On August 22, Compaq will open a new Enterprise Storage
Customer Center (ESCC) in Colorado Springs, Colo., that will develop and
qualify advanced network storage technologies for complex enterprise
environments and offer training for IT professionals. The Center will
complement the new Storage Networking Technology Center that was announced
earlier this spring by the Storage Networking Industry Association (SNIA)
and is currently being constructed by Compaq.  Both centers will be housed
under one roof when the SNIA center opens later this year.
 * The Storage Networks Solutions Business Unit, focused on
providing leading-edge solutions to the industry, has created a Business
Development Team. For more information, contact Frank Orlando, who leads the
team.

Zero Latency and other BCSG attention-getters
What debuted 10 months ago at Telecom99 as a riveting demonstration of
Compaq's first Zero Latency Enterprise (ZLE) technology has matured into a
formal go-to-market program that will be launched and rolled out in October.
Its goal?  To help you identify ZLE opportunities and win deals.  The
Business Critical Server Group (BCSG) has established the ZLE Initiative to
encompass all of our enterprise offerings - Himalaya; AlphaServer with Tru64
Unix and OpenVMS; and ProLiant with Windows NT, as well as storage, clients
and services.  It will differentiate Compaq in the marketplace, generate
momentum for the company, and give us "first-to-market" status.  No other
competitor can come close to what we offer.  The typical ZLE deal profile is
high-revenue - $15M per deal - and high-margin, so the payoff is great.
Stay tuned for announcements in October, including info on ZLE customers;
cool new offerings incorporating platforms, partners and services; new
demos; go-to-market tools to help you tell the ZLE story; ZLE expertise to
assist with your accounts; and press and analyst proof points to help you
sell.  I encourage you to learn more about ZLE so you can leverage its
revenue potential.  For more information, contact your BCSG region drivers.

Other highlights from BCSG:
 * Congratulations to the Tandem BU for its Q2 performance, the
second highest in revenue for the BU in Compaq history.  In addition, the
S74 series had the fastest ramp in the history of the Himalaya platform,
with $69M in S74000 processors shipped since its May launch.
 * MUZO, a Czech payment authorization agency and long-time
customer, will migrate to the most powerful of the Himalaya servers, the
S74000, for its new authorization center opening in 1Q01.  MUZO provides
ATM/POS authorization and back-office services using Base24 from partner
ACI.  The order is important for Compaq in the Czech Republic because it
positions the platform firmly in the country and demonstrates the success of
the ongoing efforts of the Czech subsidiary to build local Himalaya
resources and skills.
 * The "Dream Machine" roadshow, which showcases the
AlphaServer GS160 server running OpenVMS Galaxy, is starting its North
American tour. One of its first stops was in Boston in late July, where it
received an enthusiastic response from the Compaq Board of Directors.
 * Recently named a partner for Oracle's iHost applications
hosting initiative, Nupremis is the first service provider to announce that
it will host Oracle iHost applications on AlphaServers running Tru64 UNIX in
its data centers to provide the most scalable and highly available platform
for e-business.

Great things happening in the Consumer world
* In 1Q, Compaq surpassed Packard Bell as the US installed base market
share leader for the first time, according to Media Metrix.  The number of
Compaq PCs in US homes has increased 260% to 5.4 million from 1997 through
1Q.
* Presario portable PCs maintained their No. 1 U.S. retail sales share
in June for the 22nd consecutive month, according to NPD Intelect
* The Presario 1200XL-110 was rated a Best Buy and No. 1 Budget
notebook by PC World magazine
* The Presario 1800T was rated the No. 5 Power notebook by PC World
magazine
* Compaq's 2Q consumer PC sales in Malaysia were up over 1,200%, due
largely to Compaq's kiosk strategy there.  The kiosks have been successful
enough to be featured in the Far East Economic Review
* Compaq beat out four other PC manufacturers to partner with
specialty retailer Eddie Bauer on special edition Presario 1400 series
portable PCs

Joint news from Consumer and CPCG
By now I'm sure you've read about the exciting new additions to the iPAQ
family of products and services, announced jointly by Mike Larson and Mike
Winkler in New York on August 15.  The announcement symbolizes the growing
convergence of the commercial and consumer markets, and the mutual desire
for information and Internet access by our customers.

In addition, CPCG deserves special congratulations on their outstanding 2Q
results - returning to profitability one quarter ahead of what was expected!
All regions were profitable, contributing to the total $63M in operating
profit.  The group achieved the best portable shipment quarter on record,
shipped the 100,000th iPAQ desktop, and the iPAQ Pocket PC demand is 10
times the initial forecast!  And by the looks of all the commercial products
wins listed in this report, the momentum is continuing.  For an interesting
Q&A by CNET News.com with Mike Winkler on the group's achievement, see:
<http://news.cnet.com/news/0-1003-201-2375731-0.html>

New ISSG product announcements and recognition
ISSG has been busy with a lot of new product announcements, including the
industry's first high-performance network attached server appliance, the
TaskSmart N-Series, new clustering solutions for SCO, Oracle and Microsoft.
More news includes:
 * The ProLiant 8500 is now Nos. 2, 3, 4 and 5 Best Performance
on the TPC-C top 10 list.  The Compaq Benchmarks result in a Price/tpmC that
is approximately $10 lower than the top marking IBM number and is using SQL
Server 2000 instead of DB2.  We even pushed the Sun 10000 off the top 10
list.
Check out the great review and double awards for the ProLiant DL360 by
InternetWeek Magazine, titled, "Rack 'Em Up."
<http://www.internetwk.com/reviews00/rev071700.htm>

Compaq dominates Commerce One's Global Trading Web portals
Not only do we power C1's own MarketSite.net U.S. portal and all its hosted
installations, but we also power an overwhelming number of its major portal
partners.  These include NTT in Japan, which recently replaced its 30 Dell
servers with Compaq, and Cable and Wireless (Optus) in Australia, that,
after major firmware problems with Dell, is also switching to Compaq.  Let's
be bold about stating our dominance in this market - especially when
pitching prospective business with other trading exchanges.  I'm sure
Michael Capellas won't hold back when keynoting at C1's eLink Conference in
Las Vegas next month where we'll demo our Hosting Internet Buying Program
and BuySite and MarketSiteTM solutions.

NA eBusiness Solutions update
 * Great response since the launch of the speedStart Program,
which provides Web-based resources to start-up dotcoms - 281 companies have
registered, 71 have submitted applications to join the program, and 56 have
applied for leasing financing.
 * The Microsoft/Compaq dotcom roadshows yielded 6,000
customers in 15 cities with 2,533 leads generated - 41% of all attendees ...
222 qualified leads passed onto sales teams or partners.  98% of attendees
rated the roadshows as "met/exceeded expectations."
 * The NA Retail Industry Marketing team driving the ACTIVE
KIOSK Initiative has developed a $140M pipeline in the emerging kiosk market
over the past two quarters. This pipeline includes major U.S. retailers GAP,
Sears, Wal-Mart, McDonalds, Kohl's, Belk's, Federated as well as new
entities including Worldmember and eBeauty, representing both pilot and
production installations.


WINS AROUND THE WORLD

Confidentiality reminder:  Please do not use information on specific wins
from this report outside of Compaq without the approval of the account
manager.

CUSTOMER SERVICES
Amgen (North America) - $3.5M per year for hardware support for more than
400 ProLiant servers and 7,000 desktop users
Aventis (France) - $640K for hardware and software maintenance
Brinker International (North America) - Five-year, $1.2M maintenance
contract for its restaurant chains, which include Chili's, Macaroni Bar and
Grill, Cozymel's, On the Border, Maggiones, Corner Bakery, Eatzi's and Big
Bowl
Bureau of Census (North America) - $1.9M for first 15 months, $1.6M annually
after that with four option years for business-critical hardware and
software support
CEA Grenoble (France) - Three-year, $900K business-critical support contract
China Light & Power (China) - $650K
City of Calgary (Canada) - Three-year, $4M contract for high-availability
services
HealthSouth (North America) - $2.5M for StorageWorks
Reuters (Korea) - $1M for IT Management Services
TISCO (India) - $1M for IT Management Services
Turkcell (Turkey) - 3-year, $2.8M per year deal for Business Critical
services
United HealthGroup - Beat IBM and Dell for a $2-3M contract
Vodafone (Australia) - $590K for ProLiant servers

PROFESSIONAL SERVICES
Onitelecom (Portugal) - $800K for TeMIP Expert and Web Center installation
and startup
MATAV (Hungary) - $2.8M for a complex inter-carrier billing system
Optus - $2.8M in Professional Services contracts
Philips Electronics (The Netherlands) - $5.25M contract for a total package
of Professional Services and Customer Services
U.S. Senate - $1.98M for helpdesk support and Outlook 2000 and Exchange 2000
implementation
ASIA PACIFIC
Australia/New Zealand
Andersen Consulting - $2M for 400 Armada M700 notebooks and 100 desktops
Aon - $2.5M for servers, desktops and storage
Australia Post - Beat Acer for a $1.2M desktops contract
Citigroup - $2M for 233 Deskpro PCs and 379 18-inch TFT screens
COMindico - $2M for ProLiant 360 servers and storage
Faulding - $2.4M for Customer Services
KPMG - $2.7M for Armada M700
Mitsubishi - $1.1M for Customer Services
Territory Health - $1M for eBMS

India
Ashok Leyland - Beat IBM, HP and Sun for a $855K contract for three
AlphaServer DS10 systems, two ProLiant 400 servers and three RA8000 systems
Bank of Maharashtra - Topped IBM, HP and Dell for a $2.6M order for 1,431
Deskpro PCs and 102 ProLiant 400 servers
IMMOLS (Defense Ministry) - $685K for 431 Deskpro EP PCs, eight ProLiant
6400R servers and four RA4100 systems
National Institute of Fashion Technology - Beat HP and Acer for a $790K
contract for 500 Deskpro EN PCs

Indochina
Next Level Communications - Beat IBM and Dell for a $333K contract for 100
Deskpro PCs, one ProLiant 5500R server and eight Armada E500 notebook PCs

Indonesia
BPS - Beat IBM and HP for a $2M contract for AlphaServer GS140 systems
ProLiant DL380 and 8000 servers, Deskpro EN and Armada notebook PCs

Korea
Hyundai Engineering - Topped Dell for a $5M contract for 2,360 Armada E500
notebook PCs
Jeil Insurance - Beat IBM for a $1.2M Professional Services contract
Keysung Iffice - $1.1M for Professional Services
LGT - Beat HP for a $3.6M Professional Services contract
ThruNet - Topped EMC, LG and Hitachi for a $2.6M contract for nine EMA12000
systems

Philippines
SMART - Beat IBM and Sun for a $2M contract for AlphaServer systems and
StorageWorks

Singapore
Singtel - Beat IBM, Dell and Toshiba for a $3M contract for 1,000 iPAQ
desktop and pocket PCs

South Asia
Citibank - Topped Dell and IBM for a $395K contract for desktops

Thailand
TOT - Topped IBM and Dell for a $336K contract for 390 Deskpro EP PCs

EMEA
Business Development Group wins
Aberdare Cables (South Africa) - $1.3M for Alpha/SAN/ProLiant solution
BRE Bank S.A. (Poland) - $1.85M for two AlphaServer GS systems
Ministry of Railways (Russia) - Beat IBM for a $900K storage contract
MTN (South Africa) - $1.75M storage win
MUZO (Czech Republic) - $1.1M for a Himalaya S74000 system
National Bank of Poland - Beat HP for a $944K contract for 800 Deskpro EP
PCs
Romanian Telecom - Topped Siemens, Fujitsu, IBM and HP for a $3.4M contract
for 3,192 PCs
Saudi British Bank (Saudi Arabia) - Replaced Dell in a $544K contract for
830 Deskpro EN Small Form Factor PCs
Slovenian Railways (MDG) - Topped IBM, Unisys and Kapsch for a $600K SAP
project
Turkcell (Turkey) - $2M for three AlphaServer GS160 and two AlphaServer ES40
systems
UMC (Ukraine Mobile Communication) - Beat HP and Sun for a $1.7M contract
for four AlphaServer GS160 systems, Fibre Channel SAN and corporate
Enterprise Backup Solution
Westel (Hungary) - $655K for AlphaServer GS160 system

Belgium
BCEE Luxembourg - Beat Siemens for a $1.5M contract for 1,600 Deskpro EN
Belgacom -- $3.3M development of new telco services and enhanced billing on
Himalaya
Dexia Bank Belgium - Design, migration and deployment of 13,500 workstations
to Windows 2000/Exchange 2000/SMS 2.0 from Novell
Merck - Topped IBM for a $400K contract for 150 Armada M300 notebook PCs

Germany
Norddeutsche Landesbank - $1.1M to prepare a Web-based contracting solution

France
BreBank - $1.9M for AlphaServer GS160 systems running OpenVMS, and EMA12000
systems
Credit Lyonnais - Beat Dell for 400 Armada E500 and M300 notebook PCs
OCE - Beat Toshiba for 250 Armada E500 notebook PCs

The Netherlands
ANWB - $370K for 1,000 iPAQ Pocket PCs

Turkey
Deloitte & Touche - Topped Toshiba for 100 Armada E500 notebook PCs
Ziraat Bank - Topped Toshiba for 225 Armada E500 notebook PCs

United Kingdom
JP Morgan - $2.4M for six AlphaServer GS60E systems running OpenVMS
Rarrigini and Rosso - a great win by a new reseller partner, Keltec,
represents a $1.1M deal for Himalaya systems and ProLiant servers for the
end user, an insurance broking service company

GREATER CHINA
People's Republic of China
Yunnan Unicom - Topped HP for a $450K contract for two sets of AlphaServer
GS80 systems Zhejiang Power - Beat IBM for a $320K contract for AlphaServer
ES40 systems
Zhejiang Local Area tax - Beat IBM for a $320K contract for AlphaServer
GS60 systems

Hong Kong
ASM Assembly Automation Ltd. - First AlphaServer GS160 order in Hong Kong,
redeploying its existing AlphaServer 8400 and new order of AlphaServer ES40
system for Hong Kong's first SAP Database Warehouse Implementation
CLP Power Hong Kong Ltd - $2M SANworks DRM project
Dresdner Kleinwort Benson Bank - The world's first EBS with Veritas
NetBackup implementation on Windows 2000
Liu Chong Hing Bank Credit Card Center - Beat HP and NetworkAppliance for
the first switch-based SAN using the MA8000 storage array
New World Telecom - Compaq SAN serves HP UNIX Enterprise Servers

Taiwan
Aletheia University - $900K win for 650 PCs
AMT - $700K for ProLiant 8500, DL380 and 3000 servers
Southern Taiwan Telecom - $1.5M

JAPAN
Denso - Topped IBM, HP and SGI for a $2.2M order for five AlphaServer ES40
systems
Japan Telecom - $5.4M Alpha ES40 and services win for billing solution

LATIN AMERICA
Brazil
Telef?nica - $2.1M for Deskpro PCs
Petrobras - $1.7M for ProLiant services, Professional Services and Customer
Services
Bradesco - $1.5M for Deskpro PCs, Armada PCs and Customer Services
Xerox - $545K for Deskpro PCs and ProLiant servers
CVRD - $585K for Deskpro PCs, Armada portable PCs and ProLiant servers

Mexico
Serpaprosa - $850K for Deskpro PCs and ProLiant servers
CIE - $820K for iPAQ desktop PCs and Armada notebook PCs
Ericsson - $710K for Armada notebook PCs

Portugal
Sistemas de Informacao - $1.6M for ProLiant 1600 and 400 servers,
Professional Services and Customer Services

Puerto Rico
PUCPR - $675K Deskpro desktop PCs, Armada notebook PCs, ProLiant servers and
Customer Services
VA Medical - $500K for AlphaServer ES40 systems
Bank Popular - $772K for Deskpro PCs and ProLiant servers

Venezuela
Banco Mercantil - $1.4M for Deskpro PCs, Armada notebook PCs, ProLiant
servers and Customer Services
Atento - $530K for Deskpro PCs
CANTV - $1.3M for Deskpro PCs and Armada notebook PCs

NORTH AMERICA
Alltel - $1.3M for desktops
ANWB - iPAQ Pocket PCs and system integration
Arthur Andersen - Beat IBM for a $1.5M contract
Brown & Company- $4.15M for 24 Himalaya S74000 processors and software
<http://newscpq1.inline.cpqcorp.net/article.cfm?storyid=930>
Charles Schwab - $2.6M for Professional Services ($878K), Customer Services
($180K) and hardware ($1.6M)
Coastal - Beat IBM and Dell for a $10M desktop PC contract
Fingerhut - Topped IBM for a $3M desktop PC contract
Kinetic Group/Wyndham Hotels - Beat IBM for a $2M iPAQ contract
Motorola - $900K for four AlphaServer ES40 systems, Professional Workstation
XP1000 systems, AlphaServer DS10L systems and two ESA 12000 Fibre Channel
storage systems
Network Technology Group - Won back business from IBM for 20 ProLiant DL360
servers with the potential for 700 more servers and StorageWorks products in
the next 12 months
RadioShack - Topped IBM for a $2.3M desktop contract
St. Paul Co. - $2.1M for desktops and Professional Workstations
Trammell Crow - $4M for desktops
Verizon Wireless - Beat Dell and HP for a $3M desktop PC contract


NA eBusiness Solutions Wins
Kaiser Permanente - $1M for Domino, Lotus, ProLiant
HSBC (NYC) - $500K consumer lending, ARGO Data, Windows NT
3M - $800K, Domino, Lotus/ ECS, ProLiant, win over IBM AS/400
Caterpillar - $1.6M  Domino, Lotus, ProLiant, displaced HP
Intuit - $620K GS160 
Novartis - $3M storage and ProLiant solution on Lotus Domino R5, displacing
Sun
US Bank - $3.75M for BankPro Teller, ARGO, Windows NT

NA GEM wins
Advanced Technology Group - Beat Sun and SGI for a $2.2M contract
City of Honolulu - Beat Dell and EMC for $4M contract for Storage RA8000 and
EMA12000 systems
California Dept. of Health Services - Topped Dell for a $1.4M desktop PC
contract
Department of Veterans' Affairs - $1.8M for third-party software
Federal Advanced Technology Group - Topped SUN and SGI for a $2.2M contract
for Alpha Slate Workstations
Federal Defense Agencies Group - $7M for AlphaServer GS80 systems
Federal Defense Agencies - $1.4M for Professional Services
MSOE - Beat IBM for a $1.5M desktop contract
Naval Air Warfare Center - $3.9M for 2,100 Deskpro EN PCs
San Diego UHSD - Topped Gateway, HP and Toshiba for a $3M desktop PC
contract
San Dieguito UHSD - Beat Gateway and Dell for a $3M desktop PC contract
Students First - Tucson Unified S.D.  - Beat Dell, IBM, HP, Toshiba,
TranSource and CLH for a $5.7M contract for Deskpro EP PCs
U.S. Department of Energy-ASCI - Beat Sun and IBM for a $3.5M contract for
AlphaServers
U.S. General Accounting Office - $1.6M contract for Armada M300 notebook PCs


Thanks, everyone, for your efforts this month!  I'll be visiting several of
our European operations in the coming weeks, including a large gathering of
customers, press and industry analysts at the European IT Forum 2000, so I'm
sure I'll have more interesting updates next time.  Be sure to keep me
posted on your activities and wins - it's a great way to keep us all
connected.

Regards,
Peter

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