Gateway Expands Sales Relationship With Office Depot to Include New Desktop PCs Expansion of Relationship Means More Gateway Products Will Be on Office Depot Shelves POWAY, Calif. and IRVINE, Calif., Aug. 19 /PRNewswire-FirstCall/ -- Gateway's new desktop PCs will be available at Office Depot's 867 stores nationwide, starting this weekend. (Logo: http://www.newscom.com/cgi-bin/prnh/20020930/LAM050LOGO ) Office Depot, a leader in technology sales, has stocked select Gateway PC configurations over the past six months in its retail stores. Now, Gateway products will be available on an ongoing basis in the stores, as well as on the company's web site at OfficeDepot.com. The expanded arrangement with Office Depot furthers Gateway's strategy to make its PCs available at major retailers in addition to Gateway's direct channels. Following Gateway's merger with eMachines in March, the company announced plans to close its own retail network and develop relationships with key third-party vendors. "We are pleased to expand our relationship with Office Depot to include our new lines of desktop PCs," said Wayne Inouye, Gateway's president and CEO. "Office Depot's sales expertise is valuable to Gateway, as it includes every distribution channel, including stores, contract delivery, and consumer and business-to-business electronic commerce. This announcement is good news for both Gateway and Office Depot's customers." "Gateway has great name recognition among home and office PC users -- two of the largest groups of customers who purchase technology products at Office Depot stores," said John Lostroscio, vice president of technology merchandising at Office Depot. "Our relationship with Gateway has been extremely successful to date, which is why we embraced the opportunity to sell a wider range of Gateway PCs in our stores." See additional news release issued today entitled, "Gateway Unveils First Line of Desktop PCs for Sale Through Major Retailers" for more details about the new Gateway PCs to be sold via Office Depot retail stores. About Gateway Since its founding in 1985, Gateway (NYSE:GTW) has been a technology pioneer, offering award-winning PCs and related products to consumers, businesses, government offices and schools. With its acquisition of eMachines now complete, Gateway is the third largest PC company in the U.S. and among the top ten worldwide. Its products under both brands received more than 150 awards and honors last year. Gateway products are offered at major retailers, over the web and phone, and through its direct sales force. eMachines products are sold by major retailers. See http://www.gateway.com/ for more information. Special note This press release contains forward-looking statements that involve risks and uncertainties, as well as assumptions that, if they do not materialize or prove incorrect, could cause Gateway's results to differ materially from those expressed or implied by such forward-looking statements. All statements, other than statements of historical fact, are statements that could be forward-looking statements, including any projections or preliminary estimates of earnings, revenues, or other financial items; any statements of plans, strategies and objectives of management for future operations; any statements regarding sales by third-parties of Gateway products; any statements regarding proposed new products, services or developments; any statements regarding future economic conditions or performance; statements of belief and any statement of assumptions underlying any of the foregoing. The risks that contribute to the uncertain nature of these statements include, among others, our inability to control the sales, plans and strategies of third-party retailers, competitive factors and pricing pressures, including the impact of aggressive pricing cuts by larger competitors; general conditions in the personal computing industry, including changes in overall demand and average selling prices, shifts from desktops to mobile computing products and information appliances and the impact of new microprocessors and operating software; the ability to simplify the company's business, change its distribution model and restructure its operations and cost structure; component supply shortages; short product cycles; the ability to access new technology; infrastructure requirements; risks of international business; changes in accounting rules; the impact of litigation and government regulation generally; inventory risks due to shifts in market demand; the impact of employee reductions and management changes and additions; and general economic conditions, and other risks described from time to time in Gateway's Securities and Exchange Commission periodic reports and filings. Gateway assumes no obligation to update any forward-looking statements to reflect events that occur or circumstances that exist after the date on which they were made. http://www.newscom.com/cgi-bin/prnh/20020930/LAM050LOGO http://photoarchive.ap.org/ DATASOURCE: Gateway, Inc. CONTACT: Lisa Emard of Gateway, Inc., +1-858-848-3426, Web site: http://officedepot.com/ Web site: http://www.gateway.com/ Company News On-Call: http://www.prnewswire.com/comp/144245.html

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