Welcome... Better Answers. Debra Svenson March 24, 1999

Better Answers. l C ARE P AQ Services w How C ARE P AQ Can Support You w Expanded C ARE P AQ Portfolio – Hardware Support – Software Support – NOS Support w Installation & Startup w Business Critical l Y2K l Partner Assisted Services l Q & A Agenda

Better Answers. Complementary... Easy to Sell... Easy to Purchase… Adds to Profitability... Packaged Services from Compaq C ARE P AQ Services

Better Answers. User’s Guide Service Description Terms & Conditions Registration Form (also via internet) Certificate with Unique Number Conveniently Packaged

Better Answers. 3 Reasons to Register Services l Increase customer satisfaction and strengthen customer loyalty l Helps us achieve Service excellence l Ensure replacement parts are stocked and your customer receives the right part, at the right place, at the right time

Better Answers. New Enhanced Service Registration Tools l New Enhanced Web-Based Services Registration Tool Utilizing this enhanced web-based tool… C ARE P AQ registration is quick and easy. l New Centralized Telephone Registration Group connects the caller to a centralized registration group that will enter the registration into the Compaq Services Registration Database. l Multiple Services Registration Electronic Format – to simplify and streamline electronic submissions from Compaq partners, the registration database will accept several standard file formats that will be automatically loaded into the Compaq Services Registration Database.

Better Answers. C ARE P AQ Increases Revenue & Profit Example: 4-Hour On-Site Service for ProLiant One Unit Reseller A No CAREPAQ Reseller B CAREPAQ These are assumptions and may not represent reseller sales figures. 0% 53% 189% 1 $4,000 $200 1 $2,100 $378 $0 $6,100 $ % 90% 1 $4,000 $200 0 $0 $4,000 $ % 2 HARDWARE SALES Units Revenue (~$4000/unit) Profit (~5%) CAREPAQ SALES Units Revenue (~$2100/unit) Profit (~18%) RESELLER INVESTMENT GROSS SALES REVENUE GROSS PROFIT GROSS MARGIN More Units to Match Margin $

Better Answers. C ARE P AQ Increases Revenue & Profit Example: 4-Hour On-Site Service for ProLiant Units Reseller C No CAREPAQ Reseller D CAREPAQ These are assumptions and may not represent reseller sales figures. 0% 53% 189% 25 $100,000 $5, $52,500 $9,450 $0 $152,500 $14, % 90% 25 $100,000 $5,000 0 $0 $100,000 $5, % 50 HARDWARE SALES Units Revenue (~$4000/unit) Profit (~5%) CAREPAQ SALES Units Revenue (~$2100/unit) Profit (~18%) RESELLER INVESTMENT GROSS SALES REVENUE GROSS PROFIT GROSS MARGIN More Units to Match Margin $

Better Answers. C ARE P AQ Qualifying Questions l What is the impact on your business if a server goes down? l What is the cost of downtime to your business? l How do you handle hardware and software installations? l How do you support desktop PC applications across your business?

Better Answers. C ARE P AQ Portfolio l Hardware Services - Upgrades service response times to ensure your customers maximum uptime l Warranty Extensions - Protect your customers’ hardware investment by extending the terms of the Standard Limited Warranty l Software Services - Provides your customers with Help Desk support services on over 200 software applications l Installation / Start-up Services - Offers quick implementation of your customers new computer technology l Business Solutions (NEW) - Furnish your customers with a single point of contact for hardware and software integration needs Five Service Categories

Better Answers. Hardware Services Upgrades service response times to ensure your customers maximum uptime

Better Answers. Warranty Attributes l Servers 3 year, 2nd business day, on-site, best effort l Professional Workstations 3 year w 1st year, 2nd business day, on-site, best effort w 2nd & 3rd year, parts ONLY l Desktop 3 year w 1st year, 2nd business day, on-site, best effort w 2nd & third year, parts ONLY l Portables Support w 1or 3 year, 2nd business day pick-up or delivery.

1 - also available for monitors 2 - Prosignia Servers Only 3 - one year contracts available for installed servers C ARE P AQ Portfolio Portable Desktop Workstation Server Storage UPS Warranty Extension Next Business Day On-Site 9x5 4-Hour On-Site 24x7 4-Hour On-Site Priority Service Plan Hardware Installation Better Answers.

What your customers need Warranty Protects the Hardware Investment Services Protect the Business Investment l Hardware Protection Against Manufacturer Defect l Parts & Labor l Second Business Day Response for Replacement of Components l Best Effort Repair l No Software or NOS Support l No Installation l Protection Against Hardware Downtime l 7X24 Hardware Repair l 4-Hour On-Site Response l Continuous Effort Repair l Software & NOS Support l Installation & Startup Services What your customers get with the warranty

Better Answers. Hardware C ARE P AQ Services l Installed Base Server w Proliant Servers and Disk Storage Subsystems l Portable w New Next Business Day On-site Coverage on Compaq Armada & Prosignia l Storage w New 24X7 and 9X5 Coverage on Fiber Channel Storage and DLT Tape Library l Warranty Extension w Desktop, Monitor, Portable NEW

Better Answers. Servers currently under warranty 450,000 units Percentage sold without uplifted support 70% Opportunity to sell Installed Server CarePaqs 300,000+ units Market: C ARE P AQ for Installed Servers This offer: Provides a one year, 4 hour response uplift to servers under warranty Can be sold any time within year 2 or year 3 of product warranty Expiration of this service is 12 months from date of purchase. Service is available on: Proliant Servers Proliant Disk Storage Systems, Fiber Channel Storage, DLT Tape Library Power Supply (UPS) NEW

Better Answers. Desktop & Monitor Warranty Extension C ARE P AQ Offerings l Sell with Compaq Delivering Service w Increase revenue and margin from selling Carepaq l Sell and You Deliver Service* w Increase revenue from selling Carepaq…PLUS w Increase service revenue opportunity up to $90.00 per event * Available to Authorized Service Providers or System Service Providers NEW

Better Answers. Desktop Warranty Extension C ARE P AQ Can be Provided by Partners Compaq will ship 2.5+M desktop units in 1999 Compaq Desktop Warranty Extension CarePaq now enables Compaq Authorized Service Partners to sell and deliver warranty services on-site for 3 years. Market: This offer: Provides 3 years, 9X5, 2nd business day response With this service you can: Maintain your account presence Significantly augment your services profitability - Selling and delivering! Note : This offer is for desktop only; does not include monitor. NEW

Better Answers. This offer provides: 3 years, 9X5, 2nd business day response Available for: CRT <=21”, <=24” and TFT <=15” TFT, <=18 ” With this service you can: Maintain your account presence Significantly augment your services profitability - Selling and delivering! Monitor Warranty Extension C ARE P AQ Provided by Partners Compaq Monitor Warranty Extension C ARE P AQ now enables Compaq Authorized Service Providers to sell and deliver warranty services on-site for 3 years. NEW

Better Answers. Portable C ARE P AQ Service Offerings l Warranty Extension w 3 years second business day pick-up For the Armada and Prosignia portables... l Next Business Day On-site Service w 5X9 Next day response for maximum uptime w Increase your profits and customer satisfaction with: – Compaq Field Technician Expertise and Extended Coverage Market: Compaq will ship 725k+ portable units in 1999 NEW

Better Answers. l Gain Account Control l Increase revenue generating opportunities with Pay for Performance Plan l CarePaq packaging simplifies the sale, purchase, registration & administration l Eliminates investment in service marketing l Leverages the Compaq brand name Benefits of Servicing and Selling Desktop and Monitor Warranty Extension C ARE P AQS

Better Answers. Analyst on NT l O/S of the Future l “Investment” Expense for Support w MCSE’S l Customers Developing Critical Applications l Rapidly Changing as it Evolves

Better Answers. Software Services Provides your customers with Help Desk support services on over 200 software applications

Better Answers. l Direct connection to a software support specialist in less than 60 seconds l Purchase pre-paid time banks, PIN Technology l Easy time replenishment l direct access from U.S. and Canada l Available in two options: w Standard and Department Client Software Support C ARE P AQ Service l Quick access to technical expertise on over 200 of the most popular desktop applications 7x24x365 NEW

Better Answers. NOS Technical Software Support l Two levels of support l Cost-effective, single source of support for help desk l Access to Compaq service specialists trained and certified by Microsoft l Supported Network Operating Systems Include: w NT, NetWare and SCO UNIX w Over 125 products supported NEW

Better Answers. NOS Technical Software Support l 9x5, Mon.- Fri. l 125+ products supported l 2 hour response during business hours l problem identification and resolution, info services, answers to point specific questions on installation and deployment l 10- and 25-incident C ARE P AQ l 24x7 l 125+ products supported l 1 hour response during business hours l problem identification and resolution, info services, answers to point specific questions on installation and deployment l 10- and 25-incident C ARE P AQ Premium Support Standard Support NEW

Better Answers. Installation/Start-Up Services Offers quick implementation of your customers new computer technology

Better Answers. Installation/Start-up C ARE P AQ Services Reseller Benefits l Releases customer employees for core business work l Ensures fast and proper installation of hardware and software l Supplements reseller technical staff l Allows resellers to focus on higher value-added IT activities l Simplifies budgeting for multi-seat project implementation

Better Answers. Installation/Startup Services for Windows NT Server 1 Windows NT Server Base Package 5 Additional NT Server Packages Domain Integration RAS Config. 2 Modems RAS Config. Model Pool WNT Router Config. WNT DNS Config. WNT Acct. Creation WNT Client Integration Printer Integration Printer Integration Fileshare Creation Fileshare Creation

Better Answers. l Installs and configures Windows NT 4.0 on one new server l Limited to 2 days of on-site work l Basic file, print, and network access services l Installs and configures default network protocols l Integrates 5 existing, networked clients l Formats 1 local printer, fileshare, and 2 local disks l Creates 10 user accounts l Runs one time system backup l Domain creation and/or limited integration 1 Windows NT Server Base Package

Better Answers. Additional NT Packages l Cluster Installation l Internet Installation (AltaVista) l Microsoft Exchange Server

Better Answers. C ARE P AQ for Business Solutions Furnish your customers with a single point of contact for hardware and software integration needs NEW

Better Answers. C ARE P A Q for Business Solutions l Five integrated business solutions w Priority w Priority 24 w Priority Plus w Priority Premier w Priority Executive Workgroup, Departmental, Enterprise servers only NEW

Better Answers. Compaq Priority Service Plan Packages Priority Exec Premier Priority 24 Priority Priority-Plus Priority-Premier - 9x5 HW - 4 hr. response Next Available HW Engineer - 9x5 O/S SW Support (NT, NetWare) 2 hr. response - 24x7 HW - 4 hr. response - Named HW Engineer - 24x7 O/S SW Support (NT, NetWare) 1 hr response M-F 8AM-5PM local time 2 hr. response remaining hours - Named SW Account Rep - SPS Account review - Proactive Review Management - 24x7 HW - 4 hr. response - Named HW Engineer - 24x7 O/S SW Support (NT, NetWare) 2 hr. response - 24x7 HW - 4 hr. response - Named HW Engineer - 24x7 O/S SW Support (NT, NetWare) 1 hr response M-F 8AM-5PM local time 2 hr. response remaining hours - Named SW Account Rep - SPS Account review - 24x7 HW - 2 hr. response - Named HW Engineer - 24x7 O/S SW Support (NT, NetWare) - Premium Support Team - 30 min response- Critical - 1 hr response- non-critical - Named SW Account Rep - SPS Account review - Proactive Review Management NEW

Better Answers. Business Critical l Will your client loose customers or revenue if their system is down? l Do they have systems key to their ability to do business? l Do they operate under regulatory regulations? l Do they have a heavy reliance on IT for revenue and production? If so, Compaq Business Critical Services will address these needs for high availability….

Better Answers. Business Critical Portfolio of Services l Availability Assessment and Review - assess the risks in their environment. l Availability Partnership - continuous assessment and improvement plans. l Gold Support - highest level of response, expertise and service level for software support. l Platinum Support - service level agreement designed specifically for your customer. l Gold Support for Network Products - supports routers, switches, hubs, bridges and associated software.

Better Answers. Analysts on Y2K l Unprecedented IT Challenge l Ruthless time line for critical applications l Largest temporary employment opportunity l Opportunity continues past January 1, 2000!

Better Answers. Year 2000 Healthcheck Services l Assessment Services Include: w DIGITAL platform hardware, operating systems and layered products w All Compaq Intel-based products w Selected third-party products with DIGITAL or Compaq platform w Industry standard Networks and Networking devices and products

Better Answers. Year 2000 Healthcheck Services l Three key assessment services: Partner sells, Compaq delivers w Year 2000 System Healthcheck – VAX, Alpha System w Year 2000 Desktop Healthcheck – Intel-Based PCs and Servers w Year 2000 Network Healthcheck – SOW for Industry Standard Networks /Devices – Call CDR with Opportunity NEW

Better Answers. l VAR Assistance w NACS Channels Helpdesk: , ask for Services w Compaq Services Year 2000 website: w Compaq Services Year 2000 Helpdesk: l For additional information, please refer to: w (worldwide Year 2000 website with service information) Year 2000 Resources NEW

Better Answers. Partner Backup Support Sold “to” Partners to Augment Internal Resources and Capabilities Partner Assisted Services l On-Site Parts Service w Dedicated parts inventory on partner’s site l Spares Recovery Service w Financial return on non-productive inventory w Reduction of carrying and warehousing costs l On-Site Backup Support w Committed 2 or 4 hour response by Compaq F.E. NEW

Better Answers. Partner Backup Support Sold “to” Partners Partner Assisted Services l Technicians Toolbox w Central repository of knowledge tools w Optional laptop may be provided l Spares Depot Program for Partners w Provide critical spare parts from 65+ Compaq depots w Guaranteed 4 hour delivery w No capital expense to partners NEW

Better Answers. Warranty Response Meets Few Customer Business Requirements Required Service Response Time Business Dependency on Hardware Business Dependency on Hardware 2-hour Response 4-hour Response Next Day Response Warranty Response [best effort] Business Critical [high] Mission Sensitive Task Critical Not Important [low] Priority Executive Premier Priority Executive Premier Priority Plus 24x7 4-hour On-Site Response 24x7 4-hour On-Site Response 9x5 4-hour On-Site Response 9x5 4-hour On-Site Response 9x5 Next Business Day On-Site Response 9x5 Next Business Day On-Site Response Warranty Extensions Warranty Extensions Availability Review

Better Answers. Reseller Pre-Sales Support Online Information Compaq.com Compaq Partner Network Services & Technical Help / Products Service Coverage Verification Tool Services Registration C ARE P AQ Information for Resellers

Better Answers. New C ARE P AQ Price List CarePaq Service Matrix handout supercedes CD- ROM file Check for new offers and price updates on Compaq Partner Network: Services & Technical Help / Products Service Matrix Part Numbers & List Prices  Client Software Support  Technical Software Support Services for Windows NT(NEW)  NT Installation & Start-Up Services (NEW)  Monitors (NEW)  Desktop PC (Look for NEW offers)  Notebooks/Portables  Professional Workstations  Servers (Look for NEW offers)  Storage (Look for NEW offers)  Power Supply (UPS) FastStart II Reseller Handout C ARE P AQ

Questions & Answers Better Answers.