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Dell Acquires Allin Microsoft Services Expertise



* Approximately 100 Allin employees become part of Dellís Global Services
* Expertise includes Microsoft infrastructure, collaboration and business applications

Dell and Allin Corporation announced today that Dell has acquired Microsoft IT consulting and solutions segments of Allin for $12 million in a stock purchase agreement.

The acquisition involves Allinís business units located in Pittsburgh and Philadelphia, PA, and San Jose and Walnut Creek, CA, focused on consulting services around Microsoftís core infrastructure as well as business management software and services. Approximately 100 employees in these operations join Dellís expanding services business.

ďThe expertise we gain from Allin further deepens our ability to help customers exploit Microsoft technologies for business advantage. Dellís focus is on helping customerís simplify their IT environments to deliver more flexibility and faster returns. Allinís capabilities and customer focus fit perfectly in this strategy,Ē said Stephen Murdoch, vice president, Global Infrastructure Consulting Services, Dell.

ďThis is an exciting opportunity for the Allin employees who are part of the acquisition. They will have the opportunity to more effectively scale their client services teams and suite of services they currently have to a broader set of customers,Ē said Rich Talarico, chairman and CEO, Allin. ďWe will focus our services in the vertical markets we serve and look forward to continuing the collaboration between these operations and the Dell team.Ē

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Special note: Statements in this press release that relate to future results and events (including statements regarding the effects of the proposed transaction) are forward-looking statements based on Dellís current expectations. Actual results and events in future periods could differ materially from those projected in these forward-looking statements because of a number of risks and uncertainties including: general economic, business and industry conditions; Dellís ability to re-establish a cost advantage over its competitors; local economic and labor conditions, political instability, unexpected regulatory changes, trade protection measures, tax laws, copyright levies and fluctuations in foreign currency exchange rates; Dellís ability to accurately predict product, customer and geographic sales mix and seasonal sales trends; information technology and manufacturing infrastructure failures; Dellís ability to effectively manage periodic product transitions; disruptions in component or product availability; Dellís ability to maintain a strong internal control environment; Dellís reliance on third-party suppliers for quality product components, including reliance on several single-source or limited-source suppliers; Dellís ability to access the capital markets; unfavorable results of legal proceeding could harm Dellís business and result in substantial costs; Dellís acquisition of other companies; Dellís ability to properly manage the distribution of its products and services; Dellís cost-cutting measures; effective hedging of Dellís exposure to fluctuations in foreign currency exchange rates and interest rates; obtaining licenses to intellectual property developed by others on commercially reasonable and competitive terms; Dellís ability to attract, retain and motivate key personnel; loss of government contracts; expiration of tax holidays or favorable tax rate structures; changing environmental laws; and the effect of armed hostilities, terrorism, natural disasters and public health issues. For a discussion of those and other factors affecting Dellís business and prospects, see Dellís periodic filings with the Securities and Exchange Commission. Dell and Allin undertake no obligation to update any written or oral forward-looking statements or publicly announce any updates or revisions to any of the forward-looking statements contained herein, to reflect any change in expectations with regard thereto or any change in events, conditions, circumstances or assumptions underlying such statements.


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