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Gateway Selected as Technology Supplier to the State of California Under Strategic Sourcing Initiative Gateway is Only Major PC Vendor Chosen Across Notebook, Desktop and Monitor Categories in Multi-Year Agreement IRVINE, Calif., July 1 /PRNewswire-FirstCall/ -- Gateway, the nation's third largest PC company, yesterday was officially awarded three contracts to supply technology products to the government of the state of California. Selected as part of the California Strategic Sourcing Initiative (CSSI), Gateway was chosen to provide technology across three major categories -- desktops, notebooks and displays. The statewide initiative, which allows state agencies to consolidate their purchasing power and create common computing environments, conducted an open competition resulting in a two-year agreement with three optional one-year extensions. The value of the contracts depends on purchasing decisions by individual departments, but is likely to be substantial. "Over the coming three to four years, California plans to spend more than a quarter billion dollars on technology, and this strategic sourcing arrangement allows the state to purchase as a single entity with significant bargaining power making taxpayers' money go further," said Wayne Inouye, president and CEO of Gateway. "As a California taxpayer, I applaud the state for striking this kind of agreement, and on behalf of our more than 1,800 employees worldwide, we're honored that the state of California recognizes our leadership position in providing a comprehensive suite of IT products and services." Under the terms of the agreement, all of the state's Executive Branch, including the Department of Transportation (CalTrans), Environmental Protection Agency (Cal/EPA), Office of Emergency Services (OES) and Health and Human Services Data Center (HHSDC), must select technology and services from approved contract vendors. California's non-executive agencies, constitutional officers, state universities, local governments and school districts have the option to take advantage of the terms of the contract and purchase from Gateway. As part of the CSSI process, the state evaluated proposals based on common configurations created by the State Chief Information Officers' Council -- with the overarching goals to consolidate and better manage IT spending. Gateway scored high marks in the quality and thoroughness of responses within all the categories, including product offerings, customer references, solution provider partnerships and pricing. With the contract now finalized, state agencies can now purchase from a select number of state-specific product configurations across Gateway's commercial desktop, notebook and display product lines. For specific information on the configurations approved under the contract, visit http://www.gateway.com/cagov. Gateway has joined with solution provider partners -- including a number of small business vendors and disabled veteran-run companies -- to provide specific installation services. In addition, Gateway will soon open a sales office in Sacramento to better serve local government customers. For more information on Gateway products, customers can visit http://www.gateway.com/ or call 1-800-GATEWAY. Solution providers and value added resellers (VARs) interested in partnering with Gateway through the ProNet Partner Program can find more information at http://www.gateway.com/pronet. From value-priced servers to ultra-reliable desktops to comprehensive services, Gateway has served organizations for 20 years. Gateway uses its multi-channel approach to make the purchase, use and support of technology simple. Gateway customers include many of the world's leading organizations, such as the U.S. Defense Logistics Agency, The University of Arizona, California Highway Patrol and others. For more information on Gateway Professional solutions, visit http://www.gateway.com/business About Gateway Since its founding in 1985, Irvine, Calif.-based Gateway (NYSE:GTW) has been offering award-winning PCs and related products to consumers, businesses, government agencies and schools with highest quality and service and best overall value. Gateway is now the third largest PC company in the U.S. and among the top ten worldwide. The company's value-based eMachines brand is sold exclusively by leading retailers worldwide, while the premium Gateway line is available at major retailers, over the Web and phone, and through its direct and indirect sales force. See http://www.gateway.com/ for more information. DATASOURCE: Gateway, Inc. CONTACT: Media, Bryan Sherlock of Gateway, +1-949-471-7756, Web site: http://www.gateway.com/

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