HP 2005 Annual Report Download - page 7

Forward-Looking Statements
This Annual Report on Form 10-K, including ‘‘Management’s Discussion and Analysis of Financial
Condition and Results of Operations’’ in Item 7, contains forward-looking statements that involve risks,
uncertainties and assumptions. If the risks or uncertainties ever materialize or the assumptions prove
incorrect, the results of Hewlett-Packard Company and its consolidated subsidiaries (‘‘HP’’) may differ
materially from those expressed or implied by such forward-looking statements and assumptions. All
statements other than statements of historical fact are statements that could be deemed forward-looking
statements, including but not limited to any projections of revenue, margins, expenses, tax provisions,
earnings, cash flows, benefit obligations, share repurchases or other financial items; any statements of the
plans, strategies and objectives of management for future operations, including the execution of restructuring
plans; any statements concerning expected development, performance or market share relating to products or
services; any statements regarding future economic conditions or performance; any statements regarding
pending investigations, claims or disputes; any statements of expectation or belief; and any statements of
assumptions underlying any of the foregoing. Risks, uncertainties and assumptions include macroeconomic
and geopolitical trends and events; the execution and performance of contracts by customers, suppliers and
partners; the challenge of managing asset levels, including inventory; the difficulty of aligning expense levels
with revenue changes; assumptions related to pension and other post-retirement costs; expectations and
assumptions relating to the execution and timing of workforce restructuring programs; the outcome of
pending legislation and accounting pronouncements; and other risks that are described herein, including but
not limited to the items discussed in ‘‘Risk Factors’’ in Item 1A of this report, and that are otherwise
described from time to time in HP’s Securities and Exchange Commission reports filed after this report. HP
assumes no obligation and does not intend to update these forward-looking statements.
PART I
ITEM 1. Business.
HP is a leading global provider of products, technologies, solutions and services to individual
consumers, small and medium sized businesses (‘‘SMBs’’) and large enterprises. Our offerings span:
• enterprise storage and servers,
• multi-vendor services, including technology support and maintenance,
• consulting and integration and managed services,
• personal computing and other access devices, and
• imaging and printing-related products and services.
HP was incorporated in 1947 under the laws of the State of California as the successor to a
partnership founded in 1939 by William R. Hewlett and David Packard. Effective in May 1998, we
changed our state of incorporation from California to Delaware. In May 2002 we acquired Compaq
Computer Corporation (‘‘Compaq’’), which significantly expanded the breadth and depth of our
product offerings, increased our overall scale and reach, drove substantial improvements in our cost
structure and generally improved our competitive position.
HP Products and Services; Segment Information
During fiscal 2005, our operations were organized into seven business segments: Enterprise Storage
and Servers (‘‘ESS’’), HP Services (‘‘HPS’’), Software, the Personal Systems Group (‘‘PSG’’), the
Imaging and Printing Group (‘‘IPG’’), HP Financial Services (‘‘HPFS’’) and Corporate Investments.
Given the cross-segment linkages in our Enterprise offerings, and in order to capitalize on up-selling
and cross-selling opportunities, ESS, HPS and Software are structured beneath a broader Technology
Solutions Group (‘‘TSG’’). While TSG is not a business segment, this aggregation provides a
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