Hewlett-Packard CEO Carly Fiorina Fired By Board

February 08, 2005 by Jeff Shepard

Hewlett-Packard Co. (HP, Houston, TX) announced that Chief Executive Carly Fiorina has been fired by the company's board of directors, after nearly six years at the company, over disappointment of Fiorina's efforts to make the company more nimble and innovative. Board members reported that they fired Fiorina because she failed to execute a planned strategy of slashing costs and boosting revenue as quickly as directors had hoped.

Fiorina had championed the 2002 acquisition of Compaq Computer Corp. in 2002 despite fierce resistance from shareholders and directors. The board is now looking for better results from the more diversified operation. Company directors appointed Chief Financial Officer Robert Wayman to interim Chief Executive, and they will immediately begin a search for a permanent replacement. Director Patricia Dunn was also named Non-Executive Chairman.

"Carly was brought in to catalyze a transformation of HP. She did that in a remarkable fashion, and she executed the merger with her management team in a superior fashion," stated Dunn. "Looking forward, we think the job is very reliant on hands-on execution, and we thought a new set of capabilities was called for."