HP Bored of Directing shuffle

John Smith · *nix forums Guru Joined: 15 Oct 2003 Posts: 561

John Smith wrote:

John Smith · *nix forums Guru Joined: 15 Oct 2003 Posts: 561

http://news.yahoo.com/news?tmpl=story&u=/sv/20050208/tc_sv/vclegendperkinsto
rejoinhpboard

VC legend Perkins to rejoin HP board

Tue Feb 8, 6:46 AM ET

By Therese Poletti, Mercury News

Legendary venture capitalist Thomas Perkins will return to Hewlett-Packard's
board, the company announced Monday.

Perkins, who previously served on the HP board after its merger with Compaq,
replaces former Walt Disney executive Sanford Litvack, who retired last
week.

Perkins, 73, is the co-founder of the pioneering Silicon Valley venture
capital firm Kleiner Perkins Caufield & Byers.

The board shuffle follows a recent report in the Wall Street Journal that HP
directors are considering shifting some operational duties away from Chief
Executive Carly Fiorina. Taking up more day-to-day responsibilities would be
three of Fiorina's top lieutenants: Vyomesh Joshi, who heads the printer and
soon-to-be merged PC business; Ann Livermore, head of services and the
corporate computer business; and Shane Robison, the company's chief strategy
and technology officer.

"We consider much of the Wall Street Journal piece to be speculative in
nature," HP spokesman Bob Sherbin said Monday. "Board discussions are
private and we won't comment on their nature or their content."

Fiorina recently told reporters attending the World Economic Forum (news -
web sites) in Davos, Switzerland, that her relationship with the HP board is
excellent.

HP's day-to-day operations became an issue in August when the company missed
its earnings targets, in part because of a mishandled conversion to new
software in its corporate computer business. Fiorina immediately fired three
top sales executives.

Last quarter, HP bounced back with better-than-expected revenues and profits
in the corporate server business. But the company said it will continue
cutting costs and plans layoffs that will lead to a $200 million charge
sometime in the first half of 2005.

Perkins, an outspoken investor, could possibly shake things up on the HP
board. He was on the board of directors at Compaq Computer, and he joined
the HP board after the Palo Alto company's $19 billion merger with Compaq
was completed in 2002. He retired from the HP board in January 2004.

Perkins was traveling and not available for comment Monday.

Sherbin declined to comment on board discussions, but he noted that the HP
board has an age limit of 70.

"The board can waive the age limit and has done so in the past, for among
others, Perkins himself," Sherbin said. He added that the age requirement is
waived for one year, which is the length of a board member's term.

Perkins joined the Compaq board after Compaq's acquisition of Tandem
Computers in 1997.

"He is such a decisive, brilliant strategist," said Jimmy Treybig, the
founder of Tandem Computers, who early in his career worked at Kleiner
Perkins.

When Treybig founded Tandem in Cupertino in 1974, Kleiner Perkins provided
the company's initial funding and Perkins became chairman of Tandem's board.
"He always asked the hard questions. . . . He just doesn't sit there and
listen," Treybig said.

Perkins is no stranger to HP. Before founding his venture capital firm,
Perkins worked at HP, where he was the first general manager of the
company's computing business.

"Here is a guy who has deep, deep technology connections, has previous HP
experience in his background, a long history in the PC industry, a guy who I
think will vigorously review business decisions," said Harry Blount, a
Lehman Brothers analyst who does not own any HP stock. "I think it is a very
positive move that brings some energy to the board."

In his past stint on the HP board, Perkins chaired the board's subcommittee
focused on technology.

Perkins, who joined the HP board as of Monday, will be part of the slate of
directors that the company is presenting to shareholders. The slate, which
will be sent to shareholders in an upcoming proxy statement, will be voted
on ahead of HP's annual meeting, which is set for March 16 in Chicago.

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Interesting to note the exception made to bring this guy back on board.

Do I hear the sound of the headsman sharpening his axe?

Google