HP settles with Oracle over former CEO Hurd

By Geoff Duncan Published September 21, 2010

Image used with permission by copyright holder

Hewlett-Packard has resolved its lawsuit against database giant Oracle over hiring former HP CEO Mark Hurd on as a co-President and that the companies are re-affirming their long-term strategic partnership. Although the companies claim the terms of the settlement are confidential, filings with the U.S. Securities and Exchange Commission reveal some of the details: Hurd will be giving up options on more than 330,000 shares of HP stock awarded to him as part of his performance-based compensation while at HP. The shares represent the only money Hurd was still due to receive from his former role as HP’s CEO.

In a statement, HP said it believes Hurd will adhere to his requirements to protect HP’s trade practices and confidential information while fulfilling his new responsibilities at Oracle.

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“HP and Oracle have been important partners for more than 20 years and are committed to working together to provide exceptional products and service to our customers,” said HP CFO and interim CEO Cathie Lesjak, in a statement. “We look forward to collaborating with Oracle in the future.”

When HP sued Oracle over Hurd’s hiring two weeks ago, some industry insiders speculated HP’s board was more upset about the size of Hurds executive compensation package, rather than deeply concerned Hurd would spill HP’s trade secrets to Oracle. Hurd’s compensation from HP was reportedly worth in the neighborhood of $40 million

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