Compaq Receives Postal Work

Compaq Computer Corp. won a contract worth up to $2 billion to supply the U.S. Postal Service with information technology products and services.

The Houston company beat out Dell Computer Corp., Austin, Texas; GTSI Corp., Chantilly, Va.; and IBM Corp., Armonk, N.Y.

The Postal Service contract, called the Acquisition for Desktop Extended Processing Equipment, or ADEPT2, has a five-year base worth up to $1 billion, with extensions for another five. It is a re-compete of a contract first awarded in 1994 to Digital Equipment Corp., a company that Compaq purchased in 1998.

The contract calls for Compaq to provide Microsoft Windows- and Intel-based computers, as well as printers, disk storage, tape backup units and systems software. The company must also provide support services such as hardware repair, maintenance and replacement.

In the first contract, Compaq and Digital Equipment delivered more than $1.2 billion of products and services, including 32,000 servers, 180,000 desktops and 50,000 notebooks, Compaq said.