Fiorina: HP Expects $3 Billion in Savings
With plans to complete the Compaq integration almost a year ahead of schedule, HP expects $3 billion in savings by end of fiscal 2003.Hewlett-Packard Co. officials expect to complete the integration of Compaq Computer Corp. by the end of the companys fiscal year 2003, almost a year ahead of schedule, according to Chairman and CEO Carly Fiorina. Speaking to financial analysts in San Francisco on Tuesday, Fiorina also said that the company expects to save $3 billion in operating expenses during the same time span, about $500 million more than officials had projected before HP completed the $18.5 billion acquisition of Compaq in May. At the same time, the Palo Alto, Calif., company on Tuesday announced the reassigning of several key officials, part of what Fiorina said was the process of incorporating the integration of the two giant companies into the fabric of HP.
"Having completed so much of the merger integration it is time to make merger integration part of the fabric of this company," Fiorina said in the opening remarks of HPs two-day forum.