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EARNINGS

October 29, 1987

Compaq Computer's income surged 319% to $36 million in the third quarter on a 113% increase in revenue to $313 million. The Houston company credited strong demand for its personal computers. In addition, 1987 results include a $3-million after-tax gain from an equity financing by Conner Peripherals Inc., a disk-drive manufacturer in which Compaq has an interest.

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