Daylife/Reuters Pictures used by permission

Hewlett-Packard Co.’s Mark Hurd resigned as chief executive officer after an investigation found he had a personal relationship with a contractor who received numerous inappropriate payments from the company…

While an investigation didn’t find a violation of the company’s sexual-harassment policy, Hurd “demonstrated a profound lack of judgment that seriously undermined his credibility and damaged his effectiveness in leading HP,” General Counsel Michael Holston said…

The departure leaves Hewlett-Packard, the world’s biggest maker of personal computers and printers, in search of a new CEO and chairman after more than five years under Hurd. On his watch, the Palo Alto, California-based company regained leadership in the PC market from Dell Inc. and used acquisitions to expand into new areas, such as computer services. The company’s stock-market value increased $44.6 billion, rising to $108.1 billion, since Hurd took the helm on April 1, 2005…

HP initiated the investigation on June 29 after the contractor made a claim of sexual harassment. The woman, who HP declined to identify, worked on marketing tasks for two years, the company said. The probe found violations of HP’s standards of business conduct, though it didn’t find violations of the harassment policy.

Hurd submitted receipts for expenses ranging from $1,000 to $20,000 over two years, including meals and travel, that should have been labeled as personal and not related to business, said a person familiar with the situation. Hurd, who is married and has two children, intends to pay the company back the entire amount.

Hurd will get a severance payment of $12.2 million, plus other benefits; so, don’t worry too much about whether or not he can afford his country club membership.




  1. admfubar says:

    i think you need to send HP shareholder the link to the “money matters” article. it would be very informative for them.

    imagine getting 12 mil for screwing up and having to leave your place of employment..

  2. BuzzMega says:

    #2; Not all sex probes are “from behind.”

  3. HeeHee says:

    He “intends to pay the company back the entire amount.” Yeah, out of his 12.2 million severance. (I should be so lucky!)

    He’s in “the club”. Within 2 years he will have a similar job. No matter how bad they screw up, the members of “the club” never miss a beat.

    For example, another HP alum – Carly Fiorina. After a success at her first big job she pretty much failed repeatedly, and it didn’t matter. She became a member of “the club”.

  4. BuzzMega says:

    Updates: Office pool possibilities:

    Giz puts the exit compensation at around $40 million.

    AP now puts it at about $28 million.

    What’s in YOUR bet?

  5. Dallas says:

    #6 Pedrito, If you’re gonna be inconsistent, you should avoid having your comments bunched up withing 30 min of each other.

    Your #2 and #6 comments seem to be inconsistent in addition to being stupid.

  6. Dallas says:

    #8 Gee, I’m giving you a tip to hide your inconsistencies and look how you thank me 🙁

  7. bobbo, the lonely ethical eugenicist says:

    It is amusing how many CEO’s put their MILLION DOLLAR jobs and even their civil liberties at risk for a couple of thousand. Happens all the time: even routinely.

    I made it my personal policy to file VERY LIMITED expense receipts to my employer. eg==no food, drink, entertainment. Basically, just air fare and hotel. My view is I would do those things if I stayed at home. After 2-3 execs got canned for falsifying expenses ((yea, it was their secretary’s fault and of course management was after them for other reasons)) several other folks started filing like I did. Then, later, I got fired/let go, but they didn’t try to hang the old receipt trick on me.

    Ha, ha. From the front or from the behind, people tend to trip on their egos.

  8. Special Ed says:

    I knew Pedro rode a donkey.

  9. ECA says:

    This sounds MORE like an Alien sex fantasy, then anything Else.

    Im wondering if they did a FULL CARTMAN on him..

  10. You think you could re-word that headline:

    HP CEO Mark Hurd resigns after sex probe

    It sounds like he had a really good time as a woman and then resigned.

  11. Awake says:

    If I am not mistaken, “Lame Donkey” is slang for giving a BJ. Dallas, shame on you for not thanking Pedrito for giving you a lame donkey.

  12. Scott M. says:

    Talk about the Hurd in the fishbowl!

  13. soundwash says:

    Interesting expression on his face.

    -s


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