13:11 HPQ Hewlett-Packard: Summary of CEO Q/A from Citigroup Global Technology Conference (36.00 -0.46) -Update-
CEO says he has no new guidance... Says been focused lately to build a team and a model to utilize tools co has available. Notes after realignment, co has 3 business units. Calls it a big challenge trying to line up resources in each mkt... Says he looks at cost as revenue minus operating profit. He says co has $80+ bln of cost. Question is how efficient investors/analysts think they are. Admits co wasn't perfect, so says goal is to be more efficient, not only take out costs. Says original restructuring charge in July was beginning of process... While deal with Mercury (MERQ.OB) isn't done yet, co says saw no product overlap between their two products and also saw a mgmt opportunity. Sees new product line for the combined co and a higher share of the software mkt. Notes 20-25% of mkt they have is not being utilized... He admits they do look at other cos for opportunities to help them align from a software and services prospective. However, says has simple acquisition process: strategic, makes financial sense, can execute it. Says don't think of them as running around trying to do deals... Says decision to go with AMD, while before he arrived, was a good decision. But said has good and bad points. Says remaining relationship with INTC is still positive... Thinks in 2010, big mkt for co is printing. Trying to change from printers to printing. Also enterprise mkt, which spends $70 bln on copiers, faxes, services, etc. Mkt is not growing but co's opportunity to compete in it is. Only have 2-3% share of mkt now. Well positioned to compete as everything moves to digital from analog.