*Packard Foundation Against HP-Compaq Merger!*

[AGodspeed]

http://www.zdnet.com/zdnn/stories/news/0,4586,5100469,00.html?chkpt=zdhpnews01

"This is definitely an enormous blow to the deal, and I think it will be very diffcult for HP to recover," Sanford Bernstein analyst Toni Sacconaghi said of the foundation's vote. "Not only is the momentum against them from both families coming out against it, it is a blow" because of the number of shares the foundation controls, he said.

 

[pm]

All I can say is "wow". The same word that I said when the deal was first announced, if I recall correctly.

I know a whole lot of friends and colleagues are going to be a lot happier. The employees that I have talked to (and that's more than a few) are all completely dead set against the deal. Carly comes on the PA periodically to give a little cheerleading speeches, but no one that I know there is very impressed with her arguements... or she herself for that matter.

I agree that this is probably the deathblow... but it's going to be a long time dying and I think it's going to be expensive for HP in the end to get back out. This is probably the end of Carly too. She'll have to resign if it falls through.

It's a nice touch that the Packard foundation is probably representing Mr. Packard's wishes in this matter - were he around to voice them. I feel strongly that both Hewlett and Packard would have been against this deal based on what I know of their personalities.

 

[thomsbrain]

I read this in the paper like 2 or 3 months ago...

 

[AGodspeed]

I read this in the paper like 2 or 3 months ago...

I'm sure that the Packard Foundation's objection to the proposed HP-CPQ merger was not in the paper 2-3 months ago.

 

[ViRGE]

Dang, I hate to see HP get hurt like this(they'll pay for the merger failure); but I must cheer for the fact that this will leave HP as a whole intact.

 

[Sunner]

Well it seems like it might not go through, which is a Good Thing(tm) IMO.

 

[gsaldivar]

It's a shame that when Carly gets the boot, alot of people won't look at her track record in management, they will see only that she is a woman.

 

[meister]

this was in wall street journal a few months, yes months ago.

issue was concern that hp would be pulled in different direction that foundation wanted.

Mark

 

[AGodspeed]

this was in wall street journal a few months, yes months ago

issue was concern that hp would be pulled in different direction that foundation wanted.

Yes, there was certainly concern, but the general public (and most likely the Wall Street Journal) didn't know of the Parkard family's strong objection to the proposed HP-CPQ merger until just recently (last couple days).

I'm not aware of any articles more than 2 months old mentioning a strong division on the HP-CPQ merger. If you have a link, I'd like to read that article. Thanks.

 

[pm]

It's definitely news - it was on the front page of most major newspapers today. Both the Hewlett and Packard sons came out against it personally some time ago, but no one knew exactly how the Packard foundation or the Hewlett foundation would swing. The Packard foundation's announcement is the beginning of the end for the deal, IMO.