Hewlett-Packard (HPQ)

Executive Officer Severance Plan

        During fiscal 2005, the Committee reduced the multiplier in effect under the HP Severance Plan for Senior Executives, which is described above under "Employment Contracts, Termination of Employment and Change-in-Control Arrangements." In addition, the formula for the determination of payouts was changed so that payouts are a multiple of salary plus the average of the actual bonuses paid during the past three years, as opposed to targeted bonus amounts.

Executive Officer Severance Plan

        As part of its ongoing focus on the competitiveness of various compensation and benefits programs, during fiscal 2005, the Committee reduced the cash severance benefits payable under the Executive Officer Severance Plan for the Chief Executive Officer ("CEO"), Executive Vice Presidents and Senior Vice Presidents. In addition, the formula for the determination of payouts was changed so that payouts are a multiple of salary plus actual bonus paid during the past three years, as opposed to targeted bonus amounts. For a description of the Executive Officer Severance Plan and amounts payable under the plan, see "Employment Contracts, Termination of Employment and Change-in-Control Arrangements" on page 49.