Editor’s note – April 27, 2009 – some references to EDS’ integration of the Microsoft Business Productivity Online Suite have been updated.

PLANO, Texas — April 27, 2009 — EDS, an HP company, and Microsoft Corp. have signed an agreement to market, integrate and deliver the Microsoft Business Productivity Online Suite for enterprise customers.

This agreement extends to the cloud HP’s long-standing relationship with Microsoft to provide communications and collaboration services. Together, the two companies anticipate deploying these services to more than 5 million users.

EDS and Microsoft have a 20-year history of delivering enterprise-ready communications and collaboration solutions. In an effort to address financial challenges facing organizations, EDS has become the first Business Productivity Online Suite reseller and Microsoft’s largest Business Productivity Online Suite delivery partner with the capabilities to reach the rapidly growing global interest in online services.

“This agreement enables Microsoft and EDS to provide highly secure and reliable cloud-based productivity solutions to enterprise customers who want to deliver IT innovation to improve total cost of ownership,” said Kevin Torgerson, vice president of Service Delivery Operations at EDS, an HP company. “These services minimize the need for infrastructure investments and can be deployed rapidly, which further reduces the demand on clients’ IT resources.”

EDS has begun to integrate the Business Productivity Online Suite, including Microsoft Exchange Online, Microsoft SharePoint Online, Microsoft Office Communications Online and Microsoft Office Live Meeting, into EDS Workplace Services Offerings. EDS and Microsoft will jointly deliver communications and collaboration productivity services. They will also provide global reach and intend to leverage combined data center resources and network expertise.

HP plans to supply industry-leading, innovative server hardware and storage technology to support anticipated demand.

“EDS brings a long history of strong customer relationships, enterprise expertise and valuable infrastructure assets. Microsoft brings software-plus-services innovation, engineering capabilities and the most widely used productivity technology in world,” said Ron Markezich, corporate vice president of Microsoft Online. “Together, Microsoft and EDS are uniquely positioned to offer integrated cloud services that will help customers innovate and reduce IT costs.”

As a member of the EDS Agility Alliance, Microsoft provides a standard platform for EDS’ desktop and server operating systems and integrated development environments. EDS will continue to offer both traditional enterprise-class services and cloud-based Microsoft Online Services. EDS is also a Microsoft enterprise partner for Microsoft Dynamics CRM.

The EDS Agility Alliance is a coalition of companies globally recognized for their quality, products and value to clients. Together, EDS and its Agility Alliance partners collaborate to design, build and run a market-leading services platform and develop technology-based services to deliver tangible client results.

About EDS

EDS, an HP company, is a leading global technology services provider, delivering business solutions to its clients. EDS founded the information technology outsourcing industry nearly 50 years ago. Today, EDS delivers a broad portfolio of information technology, applications and business process outsourcing services to clients in the manufacturing, financial services, healthcare, communications, energy, transportation, and consumer and retail industries, and to governments around the world.

About HP

HP, the world’s largest technology company, simplifies the technology experience for consumers and businesses with a portfolio that spans printing, personal computing, software, services and IT infrastructure. More information about HP (NYSE: HPQ) is available at http://www.hp.com/.

About Microsoft

Founded in 1975, Microsoft (Nasdaq “MSFT”) is the worldwide leader in software, services and solutions that help people and businesses realize their full potential.

EDS and the EDS logo are registered trademarks of Hewlett-Packard Development Company, LP.

This news release contains forward-looking statements that involve risks, uncertainties and assumptions. If such risks or uncertainties materialize or such assumptions prove incorrect, the results of HP and its consolidated subsidiaries could differ materially from those expressed or implied by such forward-looking statements and assumptions. All statements other than statements of historical fact are statements that could be deemed forward-looking statements, including but not limited to statements of the plans, strategies and objectives of management for future operations; any statements concerning expected development, performance or market share relating to products and services; any statements regarding anticipated operational and financial results; any statements of expectation or belief; and any statements of assumptions underlying any of the foregoing. Risks, uncertainties and assumptions include macroeconomic and geopolitical trends and events; the execution and performance of contracts by HP and its customers, suppliers and partners; the achievement of expected operational and financial results; and other risks that are described in HP’s Quarterly Report on Form 10-Q for the fiscal quarter ended January 31, 2009 and HP’s other filings with the Securities and Exchange Commission, including but not limited to HP’s Annual Report on Form 10-K for the fiscal year ended October 31, 2008. HP assumes no obligation and does not intend to update these forward-looking statements.

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