In a Reversal, HP Separates Computer, Printer Units

Hewlett-Packard Co. said Monday that it had separated its personal computer and printing units only five months after then-Chief Executive Carly Fiorina combined the two.

HP, based in Palo Alto, named PalmOne Inc.’s former chief executive, Todd Bradley, as head of the PC unit.

Vyomesh Joshi, who ran the combined group, will resume his former role as head of the printer unit.

The business reshuffle is the first by new Chief Executive Mark Hurd, who took the helm April 1.

Hurd said Monday that managing the two units as separate businesses would allow the company to cut costs.

HP, the world’s largest seller of printers, made the announcement after the markets closed. HP shares rose 6 cents to $23.95 in extended trading after gaining 47 cents to $23.89 in regular trading. They have risen 21% since Hurd’s appointment was announced March 29.

“This is about giving much more simplicity from a management and go-to-market perspective,” said Hewlett-Packard spokesman Michael Moeller.

Bradley’s appointment is the second top-level management change by Hurd this month. On June 6, he named Cathy Lyons, a 26-year company veteran, as chief marketing officer.

Both Lyons and Bradley were named to the company’s executive council, joining Hurd and seven other senior executives.

Before his four-year tenure at PalmOne, Bradley, 46, was in charge of global operations for computer maker Gateway Inc.