HP Alleged Owners Of Fraudulent Autonomy Accounting Over $8.8 Billion ‘Impairment Charge’

Posted on Nov 20 2012 - 9:10pm by Editorial Staff

HP today announced its fourth quarter results with loss per share were of $3.49 and the new revenue was $30 billion, down 7% from the prior-year period. But there comes a one more picture also, the company alleged that the owners of Autonomy heavily misrepresented their company’s financial state to $11.1 billion takeover calling it as “serious accounting improprieties,” although the sales were down across the board.

“HP is extremely disappointed to find that some former members of Autonomy’s management team used accounting improprieties, misrepresentations and disclosure failures to inflate the underlying financial metrics of the company, prior to Autonomy’s acquisition by HP. These efforts appear to have been a willful effort to mislead investors and potential buyers, and severely impacted HP management’s ability to fairly value Autonomy at the time of the deal. We remain 100 percent committed to Autonomy and its industry-leading technology.”

About the Author
Editorial Staff

Editorial Staff at I2Mag is a team of subject experts led by Karan Chopra.