HP Director Discusses Compaq Deal
Hewlett-Packard Director Richard Hackborn Discusses Acquisition of Compaq Computer
PALO ALTO, Calif. (AP) -- The contentious $23.1 billion acquisition of Compaq Computer Corp. [NYSE:CPQ - news] is the best way for Hewlett-Packard Co. to improve the economics of its computer and printer businesses and solve other lingering problems, an HP director said.
``I don't see us getting there any other way,'' director Richard Hackborn told HP's 86,000 employees in a videotaped address that was transcribed for an internal Web site and filed Monday with the Securities and Exchange Commission.
``We've looked at it from a number of different angles. Could we do more inside? Could we do something with some other company? And nothing comes across as clearly as this merger with Compaq.''
Hackborn, a longtime HP employee, preceded Carly Fiorina as chairman. Without once mentioning Fiorina by name, Hackborn denied that her team has disregarded the worker-friendly ``HP Way'' of founders William Hewlett and David Packard.
Sons of both men -- including HP board member Walter Hewlett -- have said on behalf of family interests with more than 7 percent of HP stock that they oppose the Compaq merger. Packard's son was critical of HP's ``reinvention'' strategy and its need for layoffs.
``With or without the merger, we've got to do things different,'' Hackborn said. ``There's no way in my view that the company can stay the same -- let alone go back -- and be the kind of company that I personally think Bill and Dave would be proud of.''
HP shares rose 5 cents Monday to $21.55 on the New York Stock Exchange, where Compaq also gained 5 cents to $10.35. |
