Management Toolkit

HP merger chief resigns

Matt Hines CNET News

Published: 25 Nov 2003 16:50 GMT

Hewlett-Packard reported on Tuesday that executive vice president Jeff Clarke, the man credited with leading the company's $19bn merger with Compaq, has resigned.

Clarke, who had previously served as chief financial officer at Compaq, moved into a new role as HP's supply chain chief late last year. The company declined to comment on the conditions surrounding Clarke's departure, other than to say in a statement that the resignation was "mutually agreed to" and "appropriate".

During his time spearheading one of the largest merger in the history of the computer industry, Clarke was credited with helping HP accelerate its deal-related, cost-cutting schedule by years.

The company originally planned to cut $2.5bn in expenses by fiscal 2004, but ultimately said it decreased expenses by $3bn by fiscal 2003 year end. Most recently, Clarke pledged to reduce expenses by a further $1bn.

Several other top-ranking HP executives closely involved in the merger have also left the company. Webb McKinney, a longtime HP leader who co-led the merger-integration effort with Clarke, said last month that he plans to retire before the end of the year.

Susan Bowick, the human resources executive who helped blend the two companies' workforces, announced similar plans in November. Also resigning were two London-based HP Services executives and Compaq's former server executive, Mary McDowell.

CNET News.com's Ina Fried contributed to this report.