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EDS’ Rittenmeyer On The Hewlett-Packard Deal

A PR-practicing FrontBurnervian kindly provides Ron Rittenmeyer’s e-mail to EDS employees today regarding the HP deal, wherein Rittenmeyer promises “major changes” to come. Jump for it.

From: Rittenmeyer, Ron Mail Centre
Sent: Tuesday, May 13, 2008 6:39 AM
Subject: Message from Ron Rittenmeyer

To the EDS Worldwide Team:
Today is a historic day for the future of all of us at EDS, our valued clients, our shareholders and the entire IT industry. EDS and HP have reached a definitive agreement for HP to purchase EDS.

This transaction would be the largest ever in the IT services market and would create a formidable global competitor. EDS would join the world’s largest technology company. HP enjoys a well-respected global brand and broad worldwide resources – along with a strong operational background.

When the transaction is completed, which is expected in the second half of the year, HP will establish a new business group and brand it EDS – an HP company.

Importantly, EDS would retain the brand all of you have worked so hard to build over the last 45 years. EDS headquarters will remain in Plano and I plan to continue as chairman, president and CEO of this new business group.

Obviously, this news means major changes for everyone involved. There are many questions to be answered and decisions to be made in the coming months. Ensuring a successful integration is our top priority.

What doesn’t change, however, is EDS’ commitment to provide excellent service for our clients. And, we will relentlessly pursue new business while continuing to build the best delivery process in our industry. The core values of EDS are shared by HP, which makes this even more of a winning combination.

In the weeks ahead, I promise to communicate often with you about milestones and decisions affecting our company and our careers. We will thoughtfully manage this entire transition process – just as EDS and HP have done for many other companies we have each acquired.

To begin the dialogue, I invite you to watch a broadcast tomorrow to discuss the transaction. It will air live at 1 p.m. Central time on our EDS Global Broadcast Network, and will be re-broadcast often over the next several days. You will receive more information on the broadcast shortly.

As we complete this agreement, I ask each of you to stay committed to your work, performing at the high levels of service we expect for our clients and from ourselves. I know I can count on you to deliver.

We are – and will remain – EDS.
Ron Rittenmeyer

Cautionary Statement Regarding Forward-Looking Statements
Certain statements contained in this document, including EDS’ future expectations, beliefs, goals or prospects, and any statements that are not statements of historical facts are forward-looking statements. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those stated in the forward-looking statements. Important factors that could cause actual results or events to differ materially from those indicated by such forward-looking statements include: (i) the conditions to the completion of the proposed merger may not be satisfied, or the regulatory approvals and clearances required for the proposed merger may not be obtained on the terms expected or on the anticipated schedule (if at all); (ii) the parties’ ability to meet expectations regarding the timing for completion of the proposed merger; (iii) the possibility that the parties may be unable to achieve expected synergies and operating efficiencies within the expected time-frames or at all; (iv) operating costs, customer loss and business disruption may be greater than expected following the transaction; (v) the retention of certain key employees at EDS; and (vi) the outcome of any legal proceedings that may be instituted against EDS and others following the announcement of the merger agreement. These factors, and other important factors that could affect these outcomes are set forth in EDS’ most recently filed Annual Report on Form 10-K and its other filings with the Securities and Exchange Commission, in each case under the heading “Forward-Looking Statements” and/or “Risk Factors.” Such discussions regarding risk factors and forward-looking statements are incorporated herein by reference. EDS assumes no obligation to update or revise any forward-looking statement in this document, and such forward-looking statements speak only as of the date hereof.

Important Additional Information Regarding the Merger will be filed with the SEC
In connection with the proposed merger, EDS will file with the U.S. Securities and Exchange Commission a preliminary proxy statement and a definitive proxy statement. The proxy statement will be sent to EDS stockholders, who are urged to read the proxy statement and other relevant materials when they become available, because they will contain important information about the merger and the parties to the merger. EDS investors and security holders may obtain free copies of these documents (when they are available) and other documents filed with the Securities and Exchange Commission at its web site at www.sec.gov. In addition, investors and security holders may obtain free copies of the documents filed with the Securities and Exchange Commission by going to EDS’ Investors page on its corporate website at www.eds.com or by directing a request to EDS at 5400 Legacy Dr., Plano, TX 75024 — Attention: Investor Relations.

EDS and its directors and officers may be deemed to be participants in the solicitation of proxies from the stockholders of EDS in connection with the proposed merger. Information about EDS and its directors and officers can be found in its proxy statements on Schedule 14A and annual reports on Form 10-K filed with the Securities and Exchange Commission, as well as on EDS’ Investors page on its corporate website at www.eds.com. Additional information regarding the interests of those persons may be obtained by reading the proxy statement for the proposed merger when it becomes available.