MARKET LEADERS PACKARD BELL, MICROSOFT JOIN FORCES TO DELIVER ULTIMATE PC
FOR THE HOME

SACRAMENTO, Calif. -- Industry leaders Packard Bell and Microsoft have
joined forces to deliver the latest in technology for home computing -- an
unprecedented power-packed, software-rich home PC. The Microsoft Station
by Packard Bell features the Intel Pentium 133 MHz processor, the fastest
Intel chip available at retail, and the most comprehensive software
package ever bundled into one PC.

The attractive new minitower offers the user state-of-the-art power and
performance. In addition to its Pentium 133 MHz processor, The Microsoft
Station by Packard Bell will have a 1.6 GB hard drive, 16 MB of RAM and
never before bundled titles from Microsoft. With a quad speed CD-ROM and
high quality audio, this hot system is designed to deliver the high
performance demanded by cutting edge multimedia.

The Microsoft Station by Packard Bell comes complete with more than 30
Microsoft titles, a free annual subscription to The Microsoft Network and
Microsoft's Natural Keyboard and mouse. Ideal for both the couch potato
and the thrill-seeker, the new system includes Packard Bell's remote
control, which provides quick access to entertainment peripherals such as
a CD player and the Microsoft SideWinder joystick for more enjoyable and
exciting game play.

Packard Bell and Microsoft have developed joint marketing materials to
promote the new PC.

"Consumers are looking for the latest technology and greatest software,"
said Beny Alagem, president and CEO, Packard Bell. "Together, Packard Bell
and Microsoft decided to partner on an ultimate machine designed to fit
the lifestyle of the person who wants the very best.

"This is the capstone of a great year for Packard Bell," Alagem continued.
"PC sales are strong. October was our best month in the history of the
company. We expect Packard Bell unit sales for the year to be up almost 50
percent over 1994, and Packard Bell plans to continue to be the market
leader, bringing the latest technology to the consumer."

"The Microsoft Station by Packard Bell provides users with our hottest and
highest quality software and hardware features available today," Steve
Ballmer, executive vice president, Microsoft, said. "This product reflects
the best of our respective market leadership positions."

Packard Bell stressed that The Microsoft Station by Packard Bell will be
the ultimate system for the discriminating customer.

PRODUCTIVITY FOR THE HOME OFFICE

The extensive software bundle exclusively from Microsoft includes
productivity programs ideal for the home office. Pre-loaded on the system
are "Microsoft Windows 95," "Microsoft Office Standard for Windows 95,"
"Microsoft Excel for Windows 95," "Microsoft Word for Windows 95,"
"Microsoft PowerPoint for Windows 95," "Microsoft Schedule+ for Windows
95," "Microsoft Publisher CD Deluxe for Windows 95" and "Microsoft Plus!
for Windows 95."

EASY ACCESS INFORMATION

For pure reference geared for the researcher, sports fan or habitually
inquisitive, The Microsoft Station by Packard Bell comes loaded with
"Microsoft Encarta 96 Encyclopedia," "Microsoft Bookshelf 95 for Windows,"
"Microsoft Cinemania 96 for Windows," "Microsoft Complete NBA Basketball
Guide 95-96 for Windows," "Microsoft Wine Guide for Windows," "Microsoft
AutoMap Road Atlas for Windows" and "Microsoft Auto Map Streets for
Windows."

LEARNING TOOLS FOR THE KIDS

Packard Bell and Microsoft have included a software selection geared to aid
in the early development of children. "Fine Artist for Windows," "Creative
Writer for Windows," "Microsoft Oceans for Windows," "Microsoft World of
Flight for Windows," "Scholastic's The Magic School Bus Explores the Solar
System for Windows," "Scholastic's Magic School Bus Explores the Human
Body for Windows," and "500 Nations" all aid in fostering reading skills
and educational development.

GAMES AND ACCESSORIES

Hard core gamers will appreciate the entertainment package of "Microsoft
Fury3 for Windows," "Microsoft Flight Simulator for MS-DOS," "Microsoft
Space Simulator for MS-DOS," "Microsoft Arcade for Windows," and
"Microsoft Golf for Windows," all compatible with the SideWinder Joystick
for easy-to-use, fast-paced action at the tip of the fingers.

For users seeking to personalize their PC, The Microsoft Station delivers
"Microsoft Soundbits Classic Hollywood Movies for Windows" and "Microsoft
Scenes Personal Screen Saver for Windows," a package of pre-loaded
software offering high quality sounds and action shots catered for
individual preferences.

MICROSOFT PERIPHERALS

The ergonomically designed Microsoft Natural Keyboard is designed for user
comfort. Additional keys are provided, allowing for one- tap access and
shortcuts to Windows 95. The Microsoft Station's IntelliType software
allows users to control all keyboard features and the ability to swiftly
launch and change applications at their finger tips.

The multimedia home PC is packaged with additional Microsoft peripherals
designed for comfort and convenience, including an ergonomic mouse.
Designed for left and right handed users alike, the Microsoft PS/2 Mouse
has a front-weighted ball and solid feel, providing precise control of the
cursor.

For die-hard gaming enthusiasts, The Microsoft Station by Packard Bell
brings to the table the Microsoft SideWinder Joystick. The joystick is
stylishly contoured, durable and smooth and comes complete with tactile
switches, sure-action trigger, secondary button and comfortable ergonomic
grip.

PACKARD BELL REMOTE AND FAST MEDIA

With the remote, Packard Bell owners can operate all the consumer
electronic devices and applications installed in their new multi- purpose
systems from across the room. A button on the hand held controller
initiates a phone call, retrieves phone messages, starts the CD or radio,
or lets the user go directly to a software application. Curved to fit the
human hand, the remote has cursor control and command buttons that operate
the computer from anywhere in the room. You can use the Ch/Select display
button to pick up phone messages, choose a radio station or CD tracks.

Developed by Packard Bell, Fast Media is a technology innovation bypassing
multi-layered interfaces and pull down menus, a long and intimidating
process for the beginner or intermediate user.

Like the remote, the Fast Media key allows users to access electronic
appliances with a single button. When the Fast Media key is pressed, a
menu bar appears on the screen. Users can then select one of the following
functions: F1-help, F2-telephone, F3-answering machine, F4-CD player and
F5-FM radio. A mute key, F-7, silences sound from any audio appliance. The
F8-display key shows the software interface of the device currently in use
so advanced features may be accessed.

TELEPHONY

Packard Bell's telephone answering system offers speed dial and last number
re-dial as well as an electronic phone book where frequently called
numbers can be stored and accessed. The phone can receive and store voice
messages and offers multiple mailboxes so all members of the family or
business can have their own voice mail number. Remote access allows
message retrieval from any touch-tone phone. The system will also page
users, notifying them of phone messages or fax arrival, if they have a
beeper. All of these features are easily user programmable.

SRS 3-D AMPHITHEATER SOUND

SRS 3-D Amphitheater Sound is available on The Microsoft Station. This
dynamic, panoramic audio sound system allows users to move around freely
and enjoy the listening experience from anywhere in the room.

Sounds seem to emanate from the precise directions a listener would expect
at a live performance, eliminating what is known as a "sweet spot" or
single optimal listening position. SRS 3-D Amphitheater Sound can be
activated instantly from a variety of devices -- the new remote control,
the mixer or through the Media Controller

PRICING AND AVAILABILITY

The Microsoft Station is available now at an estimated street price of
$3,499.

Based in Sacramento, Calif., Packard Bell designs, manufactures and markets
a broad range of PC-compatible desktop computers. Packard Bell is the
leading supplier of PCs in the U.S. mass retail channel, according to
Audits and Surveys, a research firm that tracks the retail market. Packard
Bell is the fourth largest computer company worldwide in terms of
shipments, according to International Data Corp., Framingham, Mass. The
company maintains a home page on the World Wide Web at
http://www.packardbell.com, featuring product information, news releases
and technical support contacts.

For product service and support, contact: support@packardbell.com
Members of the press can contact: The Bohle Company PR@Bohle.com
 
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