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HP Provides Circuit City with Technology and Services for Store IT Upgrade

Hardware to Enhance Server and Storage Infrastructure in Multiple Locations Across the United States
PALO ALTO, CALIF., JUNE 5, 2003

Circuit City Stores, Inc. (NYSE:CC) has selected HP (NYSE:HPQ) servers, storage and services to support an ongoing effort to upgrade its technology infrastructure in selected stores across the United States.

"This technology enhancement is part of our continuing commitment to provide a top-notch customer experience," said David Nelms, assistant vice president, store systems, Circuit City. "We are constantly looking for ways to be more responsive to our customers while reducing infrastructure costs and being more agile as a business. The HP technology being installed moves us closer to achieving all of these objectives."

The upgrade includes the installation of HP ProLiant ML370 servers and HP StorageWorks Network Attached Storage (NAS) b2000 solutions, mounted together in HP 10642 racks, providing a complete, standardized server and storage package for each Circuit City store. The selection of HP builds on a long-standing relationship between the companies that crosses several aspects of Circuit City's operations.

"Circuit City has used HP technology in the management of its own business for some time," said Robert Corbett, director, retail, HP Enterprise Systems Group. "In addition, our companies work together to bring HP consumer technology to Circuit City's retail customers. This store-level server and storage installation contributes to the progress of ensuring a reliable, adaptable IT environment in Circuit City stores."

The HP StorageWorks NAS b2000 provides Circuit City with an easy-to-manage solution for serving files to heterogeneous clients in workgroup and remote office environments that have limited IT resources.

Custom imaging and configuration of the servers is being provided by HP Direct, through its Software Image Management Services (SIMS). By handling imaging and configuration at the manufacturing facility, SIMS streamlines the delivery and integration of the equipment and contributes to a lower total cost of ownership.

HP Services will manage the mounting and installation of the servers, StorageWorks systems and racks in the stores.

The equipment installation is underway and should be completed during the fourth quarter of this year.

About Circuit City Stores, Inc.

With headquarters in Richmond, Va., Circuit City Stores, Inc. is committed to excellence in customer service. Knowledgeable, well-trained associates coupled with an industry-leading product selection of brand-name consumer electronics, personal computers, software, movies, music and games, create a top-rated shopping experience. Circuit City's Web site, CircuitCity.com, provides shoppers with extensive product information, direct shipment of purchases, real-time inventory status of products in stores and the ability to order on-line and pick up at a store. Circuit City's commitment to helping families and youth is evident through its official sponsorship of ImageMakers, the Boys & Girls Clubs of America's national photography contest. Circuit City operates 611 Circuit City Superstores and 15 mall-based Circuit City Express stores in 159 markets. For more information visit www.CircuitCity.com

About HP

HP delivers vital technology for business and life. The company's solutions span IT infrastructure, personal computing and access devices, global services and imaging and printing for consumers, enterprises and small and medium business. For the last four quarters, HP revenue totaled $70.4 billion. More information about HP is available at http://www.hp.com.


This news release contains forward-looking statements that involve risks, uncertainties and assumptions. All statements other than statements of historical fact are statements that could be deemed forward-looking statements. Risks, uncertainties and assumptions include the possibility that the proposed contract may not be entered into on the terms currently contemplated or at all; that the market for the sale of certain products and services may not develop as expected; that development and performance of these products and services may not proceed as planned; and other risks that are described from time to time in HP's Securities and Exchange Commission reports, including but not limited to HP's quarterly report on Form 10-Q for the quarter ended January 31, 2003, and subsequently filed reports. If any of these risks or uncertainties materializes or any of these assumptions proves incorrect, HP's results could differ materially from HP's expectations in these statements. HP assumes no obligation to update these forward-looking statements.

About HP

HP Inc. creates technology that makes life better for everyone, everywhere. Through our portfolio of printers, PCs, mobile devices, solutions, and services, we engineer experiences that amaze. More information about HP Inc. is available at http://www.hp.com.