PALO ALTO, Calif.--May 28, 2004--The board of directors of HP today authorized up to $2 billion in additional repurchases of its outstanding shares of common stock. The company intends to use the authorization to repurchase shares opportunistically as a means of returning cash to its shareholders, as well as offsetting dilution from the issuance of shares under employee benefit plans. "HP continues to generate strong cash flow from operations, with over $2.6 billion in the second quarter alone. This new authorization represents a strong vote of confidence in HP's future," said Bob Wayman, executive vice president and chief financial officer, HP. The board also declared a regular cash dividend of 8 cents per share on the company's common stock. The dividend, the third in HP's fiscal year 2004, is payable on July 7, 2004, to shareholders of record as of the close of business on June 16, 2004. HP has approximately 3 billion shares of common stock outstanding.