Despite scandral, disgraced HP ex-CEO to get exit package worth $28 million

[Liberal_in_LA]

Despite scandral, disgraced HP ex-CEO to get exit package worth $28 million

Ousted HP CEO Mark Hurd, 53, who abruptly resigned on Friday after an investigation into allegations of sexual harassment, will receive an exit package worth $28 million. In fact, prior to Friday's events, Hurd had been negotiating with the company over a new three-year contract which would have been worth $100 million, according to an unnamed person familiar with the negotiations.

Hurd had previously been applauded for HP's rise as the world's largest technology company. However, the company's investigation after a complaint over a sexual harassment complaint found that Hurd had falsified expense reports and other documents to conceal a relationship with a contractor, and additionally allegedly helped the woman get paid for work she didn't do.

As a result of the announcement, HP's shares dropped nearly 10 percent on Friday, closing at $41.85. To somewhat alleviate concerns over the financial state of the company, HP released preliminary Q2 results.

HP said it expects to report earnings of 75 cents per share, compared to 67 cents a year earlier. Excluding one-time expenses, HP said results will be $1.08 per share, which would be a penny higher than analysts' expectations. Revenue is expected to be $30.7 billion, slightly higher than analysts' expectation, and 11 percent higher than 2009.

In terms of his exit package, Mark Hurd, a married father of two, will receive a $12.2 million severance payment and nearly 350,000 shares of HP stock worth about $16 million at Friday's closing price. Additionally, HP also extended the deadline for Hurd to exercise options to buy up to 775,000 HP shares.


http://www.examiner.com/examiner/x-39728-Tech-Buzz-Examiner~y2010m8d7-Disgraced-HP-exCEO-to-get-exit-package-worth-28-million

[IDemo]

1. Contractors getting screwed by management at HP?

Nothing new there.

[Ricochet21]

10. I agree

I agree

[CurtEastPoint]

2. I just cannot understand this. Even if he has a contract, this is a sham and ...

slap in the face to employees of HP, customers and stockholders.

[Quantess]

3. I know he's a scoundrel

but what is a scandral?

[GreenPartyVoter]

5. A scoundrel caught up in a scandal, of course. :^)

[IDemo]

6. You'll generally find an 'R' in the middle of a scandal

[Liberal_in_LA]

8. lol. The Examiner retitled the article since I posted... removed 'Scrandal"

[GreenPartyVoter]

4. I haven't screwed anything up. Give ME the $$$$!!

[The Backlash Cometh]

7. Too bad golden parachutes don't land with a thud.

[Hannah Bell]

9. accountability: just for the lesser folk.