HP Unveils Innovative Inkjet Supplies Strategy to Offer Customers More
Choice, Greater Value

PALO ALTO, Calif., April 24, 2007 — HP is changing the way it delivers
inkjet cartridges to customers to offer them more choice, greater value and
a simplified shopping experience, both in-store and online.

Beginning this year, most new HP consumer printers worldwide will be
introduced with multiple inkjet cartridge offerings that are designed to
provide customers with options that better meet their printing needs. In
addition, the new cartridge options will deliver value by offering low
purchase prices to customers who print a little, and lower cost-per-page to
customers who print a lot.

In conjunction with these new cartridge offerings, HP is rolling out a new
color-coded packaging system across its entire inkjet cartridge portfolio.
Three color-coded categories — standard (blue), value (green) and
specialty (red) — will allow customers to walk into a retail store or log
on to hp.com and quickly and easily scan their options to find the right
cartridge that offers the best value for their printing needs.

All three categories deliver the superior reliability and print quality
customers expect from HP. For the majority of new HP printers, the inkjet
cartridge options will be:

* “Standard” cartridges (blue packaging), which have a lower purchase
price, are designed for customers who print a small number of pages on a
weekly or monthly basis. Beginning in 2007, HP will introduce an increasing
number of standard cartridge offerings in the $14.99 price range for those
customers who still want access to high-quality printing, but don’t want to
pay a lot at the point of purchase.

* “Value” cartridges (green packaging), which are designed for customers
with higher volume printing needs, offer a lower cost per page compared to
standard cartridges. This line will include new high-yield “XL” cartridges
that provide customers approximately 30-45 percent savings on a
cost-per-page basis, print up to three times more pages, and require fewer
cartridge replacements compared to standard cartridges. Customers can
easily identify the new value option by looking for the green packaging and
the letters “XL” next to their cartridge number.

* “Specialty” cartridges (red packaging), which offer additional
performance features compared to HP’s standard ink formulations, are ideal
for customers with special applications and printing jobs, such as
professional-quality photographs.

“For more than 25 years, many HP printers offered customers only one
cartridge choice. Now, the majority of our printers will offer customers
multiple options,” said Pradeep Jotwani, senior vice president, Supplies,
Imaging and Printing Group, HP. “Delivering customer choice and value is
critical for driving continued growth, and the unprecedented level of
innovation HP is applying toward the customer experience is as important as
the innovation behind the technology that goes into our high-performance
ink and paper products.”

Improved shopping experience

To improve the customer purchasing experience, HP has extended its
color-coded system to point-of-sale materials, such as updated ink
selection guides. The changes will attract shoppers’ attention in retail
aisles and direct them to the appropriate supplies — helping to educate
people about their choices and increasing overall customer satisfaction.

Similar point-of-sale tools and the new look and feel will be employed
online at (http://www.hpshopping.com/)www.hpshopping.com to quickly guide
customers to the right supplies for their printer and printing requirements.

Downloadable photos of HP’s new inkjet cartridge offerings, as well as a
video showcasing HP’s retail and online makeover, are available online at

About HP

HP focuses on simplifying technology experiences for all of its customers
— from individual consumers to the largest businesses. With a portfolio
that spans printing, personal computing, software, services and IT
infrastructure, HP is among the world’s largest IT companies, with revenue
totaling $94.1 billion for the four fiscal quarters ended Jan. 31, 2007.
More information about HP (NYSE: HPQ) is available at