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Technology Stocks : Compaq -- Ignore unavailable to you. Want to Upgrade?

To: Weekapaug who wrote (15361)	1/28/1998 7:02:00 AM
From: Mark A. Palma	Read Replies (3) \| Respond to of 97611

TO ALL!!!!! SO LONG IBM, THIS IS HUGE FOR CPQ AND A MAJOR HIT TO IBM! IBM use to be one of the main brands sold in RadioShack, but no more. CPQ is starting to eat every ones lunch! Why do you think RadioShack wants to jump ship with IBM and join forces with CPQ??????? You be the judge! Wednesday January 28, 6:01 am Eastern Time Company Press Release Compaq Computer Corporation and RadioShack Announce Major Retail Sales and Service Agreement RadioShack Goes Exclusive With Compaq HOUSTON and FORT WORTH, Texas--(BUSINESS WIRE)--January 28, 1998--Compaq Computer Corporation (NYSE:CPQ - news) and RadioShack, a division of Tandy Corporation (NYSE:TAN - news), announced today that the companies have signed a letter of intent for a multi-year retail sales and service agreement in which Compaq Presario PCs will become the exclusive computer line sold through RadioShack. With this announcement, consumers in virtually every U.S. neighborhood will have local access to America's favorite brand of home PC in America's most trusted electronics store. Under the terms of the agreement, Compaq and RadioShack will jointly market and promote a unique line of specially configured Compaq Presario computers and accessories beginning in March. In addition, Compaq strengthened its Extra Mile service and support commitment to consumers by authorizing RadioShack as an official service provider for its entire line of Compaq computers. ''RadioShack enables Compaq to broaden its distribution reach into local markets through America's most trusted consumer electronics chain,'' said Eckhard Pfeiffer, President and CEO, Compaq Computer Corporation. ''Almost overnight, we will be able to increase our market presence by offering our products through up to 7,000 convenient locations. We believe this competitive edge will result in increased sales and brand awareness.'' ''Compaq, the leading PC manufacturer, and RadioShack, the most pervasive retailer of electronics, are entering into a strategic marketing alliance that should be a 'win-win' for both companies and their customers,'' said John V. Roach, Chairman and Chief Executive Officer of Tandy Corporation. ''RadioShack is continuously seeking new ways to ensure we are providing the American consumer with greater value,'' said Leonard Roberts, President of RadioShack and Tandy. ''Compaq is clearly focused not only on building 'useful innovation' into its personal computers, but has proven its ability to flawlessly execute that single idea. RadioShack is now proud to focus our more than 25,000 trusted sales associates on carefully explaining to our customers the differentiating features that have made Compaq the leader in the PC industry.'' Through the agreement, Compaq and RadioShack will invest in the development of a store-within-a-store concept that features a unique interactive experience that will invite the consumer to touch and learn more about Compaq products and technology. Complete implementation of the store-within-a-store plan, including extensive training and certification of RadioShack sales associates is expected to be completed by the third quarter of 1998. This agreement covers the U.S., Puerto Rico, and the U.S. Virgin Islands. According to Mike Larson, Compaq Vice President, U.S. Consumer Marketing and Sales, ''this new relationship enables Compaq to reach consumers in secondary and tertiary markets which complements our strong network of retailers. This also provides consumers with a convenient one-stop shopping destination for Compaq Presario products that focuses on providing a complete and fulfilling customer experience, including PC products and accessories, friendly and knowledgeable sales assistance and post-sales customer service.'' Service Agreement RadioShack's nationwide network of 53 service centers will provide in-warranty and out-of-warranty repair service on all home and business Compaq PCs. All repairs are backed by a 90-day guarantee. Products in need of service may be dropped off at The Repair Shop at RadioShack located within 7,000 RadioShack stores and participating dealers in the U.S.