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Hewlett-Packard boss resigns

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Hewlett-Packard boss resigns

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Hewlett-Packard’s Chairman Ray Lane is quitting.

He has been criticised for his role in the acquisition of software firm Autonomy and at the recent annual shareholders’ meeting many voted against him.

“After reflecting on the stockholder vote last month, I’ve decided to step down as executive chairman to reduce any distraction from HP’s ongoing turnaround,” Lane said in statement. “Since I joined HP’s board a little over two years ago, I’ve been committed to board evolution to ensure our turnaround and future success.”

Two other directors at the No.1 personal computer maker have also left in the latest board shake-up.

HP paid the equivalent of 8.5 billion euros for Autonomy and later had to take a huge writedown on its value.

Shareholders complained there had not been a proper check of the company before it was bought.

The upheaval comes as HP and CEO Meg Whitman are undertaking a multi-year turnaround to stimulate growth at the company, which was once synonymous with Silicon Valley but has since stagnated as its personal computer and printer business declined.

She has asked investors to be patient while the company undertakes layoffs and cost cuts and expands into areas with longer-term potential, such as enterprise computing services.