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Panasonic DVD-RAM Drives Offered in Select Compaq Desktops;
Rewritable DVD Drive Enhances Storage Capabilities of Home Office PCs, Enterprise-class Desktops, Professional Workstations

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LAS VEGAS -- Nov. 14, 2000 -- Panasonic has announced that Compaq Computer Corporation will offer a 4.7GB Panasonic DVD-RAM drive option with Presario 7000 Series desktop PCs, Compaq Deskpro Workstations and Compaq Professional Workstations. With the rewritable DVD drive, businesses, content developers and consumers have a single solution for feature-length video production and delivery applications, system back-up/recovery, secondary storage, as well as rich multimedia content development and video playback features.

The DVD-RAM drive can also be used as a 24x CD reader and for playback of DVD video, DVD-ROM and DVD-R discs. Offering seven times the capacity of a CD and 100 times the write/rewrite cycles, the 4.7GB DVD-RAM single-sided media can store up to two hours of theater-quality video or more than 400,000 documents for a storage cost of only $.005/MB.

"Providing the 4.7 GB of DVD-RAM option will enable Compaq customers to extend their storage capacity to that of a full-length feature film," said Keith Lefebvre, Director, Product Marketing, Commercial Personal Computing Group, Compaq Computer Corporation. "The Panasonic DVD-RAM drive's rewritability, as well as its random-read and random-write capabilities, allow it to function like a hard drive but with a much lower storage cost to consumers."

The Panasonic DVD-RAM drive will be offered with the following Compaq products:

Compaq Presario 7000 Series desktop PCs
Compaq's Presario 7000 series of broadband-ready desktop PCs provide home and home office users with the high performance computing needed when using the latest games, business software and multimedia applications. Some models include a complete digital movie making package, MyMovieSTUDIO with Studio DV Software, which features a user friendly drag and drop digital editing solution for capturing digital video. Users can personalize their digital videos with titles, narration and special effects, and share them with family and friends on videotape. Finalized videos can also be saved in DV format to a 4.7GB DVD-RAM disc to be emailed, posted on the Web or used in presentations.

Deskpro EN, EX, EXS Workstations
Offering easy integration into enterprise environments, Compaq's Deskpro EN Series is available with an Intel Pentium III 1 GHz processor. To provide the flexibility that growing businesses and corporate enterprises require, Compaq offers Deskpro EX models in either a desktop or mini-tower chassis. The EX series features Intel Celeron and Pentium III processors with speeds ranging from 566 MHz to 1 GHz and memory configurations up to 512 MB. The Deskpro EXS models feature similar configurations and options available on the Deskpro EX models, but add the choice of a pre-installed Microsoft Office application and include Norton AntiVirus software.

Deskpro Professional Workstations
Designed for professionals who need the most powerful, dual-processor capable workstation and industry-leading graphics, Compaq offers the Professional Workstation SP750 with Intel Pentium III Xeon 1 GHz processors. Compaq also incorporates Pentium III 1 GHz processors in its dual-processor-capable Professional Workstation AP550; and in the Deskpro Workstation AP250 which features a single processor for budget-conscious customers.

"Compaq has an exciting multimedia development platform that will optimize the performance and capabilities of our DVD-RAM drives as a storage, post-production and video archiving solution." said Jeff Saake, general manager of Panasonic Industrial Company's Computer Technologies Group. "Compaq is the world's largest supplier of computing systems, and we're very pleased to have our drives selected as the DVD solution for their Presario 7000 Series desktop PCs and Deskpro workstations."

Panasonic Industrial Company's OEM DVD-RAM drive is available as an internal drive with an ATAPI interface (model LF-D211N) or as a SCSI-2 interface (model LF-D291N). Available as an option in Compaq Deskpro and Presario 7000 models, Panasonic DVD-RAM drives can be purchased through Compaq's website, Partner Direct or agent programs.

The Panasonic-branded internal drive, model LF-D201U, is available from Panasonic Document Imaging Company (PDIC) and has an MSRP of $549. Double-sided 9.4GB DVD-RAM media, 4.7GB single-sided media and 4.7GB bare disc media; which is marketed under the Panasonic brand name, is also available from several other leading manufacturers. The 4.7GB bare disc DVD-RAM media can be played back on the latest Panasonic DVD-ROM drives, as well as Panasonic's new DVD Player and DVD Recorder.

The Compaq Presario 7000 Series desktop PCs is available through Compaq's Consumer PC Division and can be ordered at Compaq's "Built for You" kiosks, via the web at http://www.compaq.com/. Prices for Presario 7000 series desktop PCs start at $1,111.

Compaq Deskpro workstations and Deskpro professional workstations are marketed by Compaq's Commercial PC and Workstation Division. Deskpro EN, EX and EXS models are available thorough traditional Compaq sales channels including resellers, agents and directly through Compaq's DirectPlus Web site. Prices for the entry-level Deskpro EN Series models start at $749 for a model equipped with an Intel Celeron 566 MHZ processor. The EXS models are only sold direct through the DirectPlus Web site or through Compaq's Partner Direct and agent programs with prices starting at $699. Pricing for Compaq professional workstations start at $2,461 for a Deskpro Workstation AP250 model.

About Panasonic
Panasonic is the best known brand name of Matsushita Electric Industrial Co., Ltd. (NYSE: MC), a world leader in electronic and electric products for consumer, business and industrial use. Panasonic has introduced some of the world's most innovative DVD products to the market including portable DVD players with a built-in LCD screen, DVD-Audio players, DVD video and DVD-Audio players for automobiles, TV/DVD/VCR systems and DVD-RAM drives. Panasonic's DVD expertise ranges from research and development to the manufacture of DVD mastering and replication equipment. In Los Angeles, its Digital Video Compression Corporation (DVCC) performs DVD encoding, artistic authoring, and services for full-length motion picture transfer. Torrance, California-based Panasonic Disc Services Corporation (PDSC) performs pre-mastering, mastering and replication of discs for DVD and DVD-ROM products. Additional information on Panasonic and Matsushita Electric is available at http://www.panasonic.com/.


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