HP Takes $8.8B Hit

    A gardener cuts the grass at Hewlett Packard Company headquarters in Palo Alto, Calif., Tuesday, July 19, 2005. Computer and printer maker Hewlett-Packard Co. said Tuesday it will cut 14,500 jobs, about 10 percent of its global work force of 150,000 and overhaul its retirement program in a restructuring plan designed to save $1.9 billion annually and bring costs closer to those of competitors. (AP Photo/Paul Sakuma)

    Paul Sakuma / AP Photo

    Autonomy’s been a very naughty software company. Hewlett-Packard announced that it was forced to take an $8.8 billion charge because of Autonomy’s “accounting improprieties,” “outright misrepresentations,” and a “willful effort to mislead” investors and buyers. HP, led by Leo Apothekar, bought the British software company for $10 billion in 2011. It’s a massive setback for HP and erases profit made on the deal. Shares fell 12 percent in early trading.

    Read it at Bloomberg