Hewlett: $150 Million Spent in Merger Battle

Hewlett-Packard Co. director Walter Hewlett estimated the company spent $150 million to override the opposition he led to the proposed $20-billion acquisition of Compaq Corp.

Hewlett disclosed the estimate at a meeting of the Council of Institutional Investors, a group of large pension fund managers, drawing gasps from many in the audience.

An HP spokeswoman disputed Hewlett’s estimate, but declined to say how much was spent in the unusual battle that featured dueling newspaper ads and intensive lobbying of both individual and institutional shareholders.

A source close to Walter Hewlett said he had spent about $32 million to persuade shareholders to vote against the deal. Walter Hewlett also said he will throw his support behind the merger if shareholders approve the deal.