Tags: US | HP | CEO | Resigns

HP CEO Hurd Resigns After Sexual-Harassment Probe

Friday, 06 Aug 2010 05:26 PM

 

Share:
  Comment  |
   Contact Us  |
  Print  
|  A   A  
  Copy Shortlink

Hewlett-Packard Co. said CEO Mark Hurd is stepping down following a sexual-harassment probe that found other violations of company standards.

HP said Friday that Hurd decided to leave after the investigation into a sexual-harassment claim made against him and the company by a former HP contractor. The probe concludes that the company's sexual-harassment policy was not violated, but that its standards of business conduct were.

After the announcement, the company's shares dropped more than 8 percent in after-hours trading.

In a statement, Hurd said that during the investigation he "realized there were instances in which I did not live up to the standards and principles of trust, respect and integrity that I have espoused at HP." He added that he believed it would be "difficult to continue as an effective leader at HP."

Hurd and Robert Ryan, HP's lead independent board member, stressed that Hurd's departure has nothing to do with the company's financial health.

Ryan said in a statement that HP's board "deliberated extensively" about whether Hurd should leave his post.

"The board recognizes that this change in leadership is unexpected news for everyone associated with HP, but we have strong leaders driving our businesses, and strong teams of employees driving performance," he said.

Hurd, 53, joined HP in April 2005 as its CEO, president and a board member. He gained the title of board chairman in September 2006. Before coming to HP, he worked as CEO of ATM maker NCR Corp. for two years, and as that company's president for nearly four years before that. He is also a member of News Corp.'s board.

The technology company named Chief Financial Officer Cathie Lesjak as its interim CEO. Lesjak, 51, who has been at HP for 24 years, will continue to act as CFO. HP said a board committee will search for a new CEO, and the company said Lesjak decided not to be considered for the position of permanent CEO.

Also Friday, HP issued preliminary results for its fiscal third quarter, which came in slightly above analyst expectations.

HP said it earned 75 cents per share during the period, compared with 67 cents per share in the same quarter a year ago. When excluding one-time items, the company earned $1.08 per share. Analysts polled by Thomson Reuters expected adjusted earnings of $1.07 per share.

HP said its revenue rose 11 percent from last year to $30.7 billion; analysts were looking for $30 billion in revenue.

HP gave outlook for its fiscal fourth quarter as well. The company forecast earnings of $1.03 to $1.05 per share, or $1.25 to $1.27 per share after excluding one-time items. Analysts were hoping for adjusted earnings of $1.26 per share. HP expects $32.5 billion to $32.7 billion in revenue, in line with analysts' expectations of $32.6 billion.

HP plans to report its final results Aug. 19.

HP shares fell $4, or 8.6 percent, to $45.89 in after-hours trading, having finished regular trading down 5 cents at $46.30.

© Copyright 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Share:
  Comment  |
   Contact Us  |
  Print  
  Copy Shortlink
Around the Web
Join the Newsmax Community
Please review Community Guidelines before posting a comment.
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
 
Email:
Retype Email:
Country
Zip Code:
 
Hot Topics
Follow Newsmax
Like us
on Facebook
Follow us
on Twitter
Add us
on Google Plus
Around the Web
You May Also Like

Ex-Romney Adviser: Americans Don't Appreciate Foreign Policy

Thursday, 31 Jul 2014 21:00 PM

Americans are woefully underinformed on the need for strong foreign policy, but that doesn't mean their leaders should a . . .

Obamacare Gives Some Young Adults Incentive to Stay Uninsured

Thursday, 31 Jul 2014 20:42 PM

Despite its intended goal to provide health insurance to everyone, Obamacare actually gives some young adults a strong f . . .

CNN Anchor Tweets Insult About Fox News Climate Story

Thursday, 31 Jul 2014 19:26 PM

CNN anchor Bill Weir went on a mini-Twitter tirade Thursday, crudely slamming a Fox News blog for its post on former Vic . . .

Most Commented

Newsmax, Moneynews, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, NewsmaxWorld, NewsmaxHealth, are trademarks of Newsmax Media, Inc.

 
NEWSMAX.COM
America's News Page
©  Newsmax Media, Inc.
All Rights Reserved