HP Fires CEO After Just 11 Months
Computer giant Hewlett-Packard Corp. (HP) has fired Leo Apotheker as its chief executive after just 11 months on the job, replacing him with billionaire businesswoman and political hopeful Meg Whitman in an effort to remodel its corporate hierarchy.
In an effort to remodel its corporate hierarchy, computer giant Hewlett-Packard Corp. (HP) has fired Leo Apotheker as its chief executive after just 11 months on the job, replacing him with billionaire businesswoman and political hopeful Meg Whitman.
Based on reports, HP fired Apotheker – the second CEO to be fired in two years – after a string of dismal earnings report and lackluster handling of key strategic announcements that has led to the massive drop in the company’s stocks and market value.
It will be recalled that in 2010, the computer firm has forced Mark Hurd to resign following a scandal.
Apotheker will be replaced by former eBay Inc. executive Meg Whitman, who is the brilliant manager, transforming the scrappy website into an online auction powerhouse.
Many analysts said that the decision to replace Apotheker was “hastily” done, but was expected to happen any time soon since the company has been fighting to keep its business afloat in unpredictable technology market.
Meanwhile, many shareholders were delighted when HP announced that Whitman will take over as CEO, but gains at the stock market were immediately wiped out amid fears that the company’s strategy were deeply flawed.
HP shares dropped 4.9 percent or $1.18 to close at $22.80 per share on Thursday.