Hewlett Packard to break-up into two units, reports say
Updated : 21:59
US technology giant Hewlett Packard may announce a decision to break itself up into two units as early as Monday.
The decision, first reported by The Wall Street Journal, which cited persons familiar with the matter, would mark a u-turn for chief executive officer Meg Whitman.
It was she who famously axed plans by her predecessor Leo Aphoteker to do exactly that back in 2011, whe she came on board.
The plan will see the personal-computer and printer businesses separated from its corporate hardware and services operations.
According to one of the sources cited by the WSJ the transaction will be structured as a tax-free distribution of shares to the company's current investors.
Separate, but still tied together at the head
Whitman will be the chairwoman of the PC and printer business and at the same time the chief executive of the new so-called enterprise company. Lead independent director Patricia Russo is to take over as chairwoman of the new outfit and Dion Weisler, will become the chief of the PC and printer division, where he is currently serving as vice-president.
Hewlett Packard lost its place as the PC manufacturer with the largest market share to Lenovo in the second quarter of 2013, according to market research firm IDC.