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Technology Stocks : Hewlett-Packard (HPQ) -- Ignore unavailable to you. Want to Upgrade?

To: MeDroogies who wrote (437)	5/16/2002 3:16:08 PM
From: Elwood P. Dowd	Read Replies (1) \| Respond to of 4345

Carly memo by: skeptically 05/16/02 03:04 pm Msg: 133767 of 133770 theregister.co.uk Carly's 'new HP' memo leak - Q staff miss the bonus By John Leyden Posted: 15/05/2002 at 16:06 GMT A memo from new hp boss Carly Fiorina has found its way into our inbox. Written in her usual touchy-feely style, the memo nonetheless carries unwelcome news for former Compaq employees - they won't get a share of a pre-merger company performance bonus. Ouch. Anther point to note is the belief in the top echelons of new hp that IT spending won't recover until next year. There's also a sting in the tail of the memo. Carly writes: "one basic but absolute tenet of the new HP is that every business in this company needs to be healthy and pull its own weight. All of our businesses must be profitable." To: hp Employees From: Carly Fiorina Hello, everyone. What an exciting week it's been since I last spoke with all of you. One week ago, we launched the new HP and already we're off to a fast and effective start in building our new company. And I want to thank all of you for your hard work in making our launch a success. A few minutes ago, we issued the results for HP as a standalone company for the final time. From this day forward, we will report on how we perform in the marketplace on a quarterly basis as the new HP. And for those of you who are still getting acquainted, our fiscal year runs from November 1 through October 31. So our third quarter began on May 1 and will end July 31. Now, as has been our practice, I'd like to spend a few minutes putting pre-merger HP results for the quarter into perspective. I'll talk briefly about the business overall where we've done well, where we need to improve, and where we need to focus our energy over the next three months and beyond. Pleased with performance Despite continued weakness in enterprise IT spending worldwide, management changes in preparation for the new company and the prolonged uncertainty surrounding our merger during most of the second quarter, I'm very pleased with our overall performance. We reported pro forma earnings per share of 25 cents, in line with the current analyst consensus estimates. Although our revenue declined 7 percent sequentially on a pro forma basis, our gross margins increased from 26.9 percent to 28.7 percent. Expenses for the quarter were essentially flat -- and we generated cash from operations of $2.1 billion for the quarter, improving our already healthy cash position. Last quarter's performance proves we can focus and execute even under the most difficult conditions. Despite the tough enterprise spending environment, we held our own in key segments of the enterprise market -- UNIX servers, storage and printing, relative ...lots more where that came from......... theregister.co.uk