HP inaugurates its manufacturing facility in Uttaranchal

PANTNAGAR

OCTOBER 4, 2006

Hewlett-Packard India today announced the launch of its second manufacturing
facility in the country at Pantnagar, Uttaranchal. The plant was inaugurated by
the Chief Minister of Uttaranchal, Narayandatt Tiwari.

Set up with an investment of Rs 100 crore, the plant will have an initial
capacity of 3,00,000 computers per month once it commences operations in March
2007. The facility will manufacture HP's latest range of desktop computers,
workstations, notebooks and servers.

The new manufacturing facility in Pantnagar, and the existing facility in
Bangalore (Karnataka), will help HP in quickly addressing the growing demand for
HP products across the country. The plant is also expected to provide employment
(direct & indirect) to around 1,000 people in the region once fully
operational.

Announcing the launch of the new facility, Adrian Koch, Senior Vice
President, Personal Systems Group, HP Asia Pacific and Japan said, “Today,
India represents a strategic market for our products in the region. The
inauguration of our second manufacturing facility in the country reiterates our
commitment to serve our customers in the region.”

“With the skilled talent and a favorable business environment, we hope to
grow our manufacturing operations in the country to cater to other emerging
markets in the region,” he added.

Speaking on the launch, Ravi Swaminathan, Vice President, Personal Systems
Group, HP India said, “We would like to express our gratitude to the
Government of Uttaranchal for their support. With strong infrastructure and
favorable government policies, we see Uttaranchal emerging as a key
manufacturing hub for the IT sector.”

According to the latest IDC quarterly results, HP emerged as the overall
leader in the PC market with a market share of 20.3 percent. HP achieved 37.1
percent market share in the notebook segment, which was more than double the
share of its closest competitor. HP also led in the desktop segment with a 16.6
percent market share (by volume).