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2013
Annual
Report

Table of contents

  • Page 1
    2013 Annual Report

  • Page 2
    We want to be a company known for its ethical leadership-a company where employees are proud to work; a company with which customers, business partners, and suppliers want to do business. Meg Whitman President and CEO

  • Page 3
    ... billion to stockholders in the form of share repurchases and diYidends. /ookinJ ahead, we e[pect our strenJthened financial position to afford us eYen more Ưe[ibility to return capital to stockholders and make the inYestments needed to support our business. $11.6B in cash Ưow from operations for...

  • Page 4
    ... of new and e[citinJ products, serYices and solutions that map directly to the companyos strateJy and are more closely aliJned with $2.6B returned to stockholders in the form of share repurchases and diYidends our customerso needs today and in the future. 7his includes our 0oonshot serYer system...

  • Page 5
    ... and Personal 6ystems business. %usiness model innoYations like ,nk $dYantaJe and new products like our entirely new line of multifunction printers and the +P OÆ°ceMet Pro ; series continue to take hold, with stronJ customer adoption. Our multioperatinJ system and multiform factor strateJies...

  • Page 6
    ...cer of $merica Online, ,nc., a software company. 0r. $ndreessen cofounded 1etscape Communications Corporation, a software company, and serYed in Yarious positions, includinJ Chief 7echnoloJy OÆ°cer and E[ecutiYe 9ice President of Products from  to . 0r. $ndreessen also is a director of e%ay...

  • Page 7
    ..., 0s. Whitman serYed as President and Chief E[ecutiYe Oưcer of e%ay ,nc., an online marketplace and payments company, from  to 0arch . Prior to MoininJ e%ay, 0s. Whitman held e[ecutiYeleYel positions at +asbro ,nc., a toy company, )7', ,nc., a Ưoral products company, 7he 6tride 5ite...

  • Page 8
    ... Tracy S. Keogh E[ecutiYe 9ice President, +uman 5esources William L. Veghte E[ecutiYe 9ice President and *eneral 0anaJer, Enterprise *roup Catherine A. Lesjak E[ecutiYe 9ice President and Chief )inancial OÆ°cer Dion J. Weisler E[ecutiYe 9ice President, PrintinJ and Personal 6ystems *roup Todd...

  • Page 9
    ... period from to Commission file number 1-4423 HEWLETT-PACKARD COMPANY (Exact name of registrant as specified in its charter) Delaware (State or other jurisdiction of incorporation or organization) 3000 Hanover Street, Palo Alto, California (Address of principal executive offices) 94-1081436...

  • Page 10
    ... Directors, Executive Officers and Corporate Governance ...Executive Compensation ...Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters ...Certain Relationships and Related Transactions, and Director Independence ...Principal Accounting Fees and Services...

  • Page 11
    ... fact are statements that could be deemed forward-looking statements, including but not limited to any projections of revenue, margins, expenses, HP's effective tax rate, earnings, net earnings per share, cash flows, benefit plan funding, share repurchases, currency exchange rates or other financial...

  • Page 12
    ... units. Our operations are organized into seven business segments: Personal Systems; Printing; the Enterprise Group (''EG''); Enterprise Services (''ES''); Software; HP Financial Services (''HPFS''); and Corporate Investments. In each of the past three fiscal years, notebooks, desktops, printing...

  • Page 13
    ... services, web-connected printing, and PC back-up and related services. Enterprise Group EG provides a broad portfolio of enterprise technology infrastructure solutions for a variety of operating environments that address a wide range of customer challenges, including the need to increase...

  • Page 14
    ... offerings enable customers to optimize their existing storage systems, build new virtualization solutions and plan their transition to cloud computing. Networking. Our switch, router and wireless LAN products deliver open, scalable, secure, agile and consistent solutions for data center, campus and...

  • Page 15
    ...or software-as-a-service and are augmented by support and professional services in order to provide an end-to-end solution to customers. HP Financial Services HPFS supports and enhances our global product, software and services solutions by providing a broad range of value-added asset management and...

  • Page 16
    Sales, Marketing and Distribution We manage our business and report our financial results based on the business segments described above. Our customers are organized by consumer and commercial customer groups, and purchases of HP products, solutions and services may be fulfilled directly by HP or ...

  • Page 17
    ... nature of our business, political or economic changes or other factors could harm our future revenue, costs and expenses, and financial condition,'' in Item 1A, ''Quantitative and Qualitative Disclosure about Market Risk'' in Item 7A and Note 9 to the Consolidated Financial Statements in Item...

  • Page 18
    ... October 31, 2013, our worldwide patent portfolio included over 38,000 patents, which represented a slight increase over the number of patents in our patent portfolio at the end of fiscal 2012 and fiscal 2011. Patents generally have a term of twenty years from the date they are filed. As our patent...

  • Page 19
    ...-based distribution strategy from retail and commercial channels to direct sales. Printing. The markets for printer hardware and associated supplies are highly competitive. Printing's key customer segments each face competitive market pressures in pricing and the introduction of new products. Our...

  • Page 20
    ...CA Technologies, Inc., VMware, BMC Software, Inc. and others. Our big data solutions, which include data analytics, information governance and digital marketing offerings incorporating both structured and unstructured data, compete with products from companies like Adobe Systems Inc., IBM, EMC, Open...

  • Page 21
    ... to finding solutions to achieve compliance with and manage those requirements, and we are collaborating with industry, business groups and governments to find and promote ways that HP technology can be used to address climate change and to facilitate compliance with related laws, regulations...

  • Page 22
    ... as Vice President of Finance for Global Accounts and HP Financial Services from March 2011 to May 2012 and Vice President of Finance for HP Software from March 2009 to March 2011. Prior to joining HP, Mr. Ricci served as Senior Vice President of Finance for BEA Systems, Inc., an enterprise software...

  • Page 23
    ... Senior Vice President and Managing Director, Printing and Personal Systems, Asia Pacific and Japan from January 2012 to June 2013. Prior to joining HP, he was Vice President and Chief Operating Officer of the Product and Mobile Internet Digital Home Groups at Lenovo Group Ltd., a technology company...

  • Page 24
    Business Conduct'' also are available at that same location on our website. Stockholders may request free copies of these documents from: Hewlett-Packard Company Attention: Investor Relations 3000 Hanover Street Palo Alto, CA 94304 http://www.hp.com/investor/informationrequest Additional Information...

  • Page 25
    ... challenges relates to changes in the competitive landscape. Our major competitors are expanding their product and service offerings with integrated products and solutions; our business-specific competitors are exerting increased competitive pressure in targeted areas and are going after new markets...

  • Page 26
    ..., manufacture and market products, services and solutions that meet customer requirements for innovation and quality, our revenue and gross margin may suffer. Our long-term strategy is focused on leveraging our portfolio of hardware, software and services as we adapt to a changing and hybrid model...

  • Page 27
    ... for technology hardware, software and services in the markets in which we compete. Economic weakness and uncertainty have resulted, and may result in the future, in decreased revenue, gross margin, earnings or growth rates and in increased expenses and difficulty in managing inventory levels. For...

  • Page 28
    ...to restructuring actions and associated expenses. The revenue and profitability of our operations have historically varied, which makes our future financial results less predictable. Our revenue, gross margin and profit vary among our products and services, customer groups and geographic markets and...

  • Page 29
    ... services properly, our revenue, gross margins and profitability could suffer. We use a variety of distribution methods to sell our products and services, including third-party resellers and distributors and both direct and indirect sales to enterprise accounts and consumers. Successfully managing...

  • Page 30
    ... critical schedules. Given the wide variety of systems, products and services that we offer, the large number of our suppliers and contract manufacturers that are located around the world, and the long lead times required to manufacture, assemble and deliver certain components and products, problems...

  • Page 31
    ... to purchasing components or services for prices in excess of the then-current market price, we may be at a disadvantage to competitors who have access to components or services at lower prices, our gross margin could suffer, and we could incur additional charges relating to inventory obsolescence...

  • Page 32
    ... sales pattern makes predicting revenue, earnings, cash flow from operations and working capital for each financial period difficult, increases the risk of unanticipated variations in quarterly results and financial condition and places pressure on our inventory management and logistics systems...

  • Page 33
    ..., costs and expenses, and financial condition. Sales outside the United States make up approximately 64% of our net revenue. In addition, an increasing portion of our business activity is being conducted in emerging markets, including Brazil, Russia, India and China. Our future revenue, gross margin...

  • Page 34
    ... earnings, including those related to severance pay, early retirement costs, employee benefit costs, goodwill and asset impairment charges, charges from the elimination of duplicative facilities and contracts, asset impairment charges, inventory adjustments, assumed litigation and other liabilities...

  • Page 35
    ...fiscal quarter of 2012, we recorded an $8.8 billion impairment charge relating to the goodwill and intangible assets associated with Autonomy. If there are future decreases in our stock price or significant changes in the business climate or results of operations of our reporting units, we may incur...

  • Page 36
    ...competitive advantages, either of which could result in costly product redesign efforts, discontinuance of certain product offerings or other harm to our competitive position. Further, the laws of certain countries do not protect proprietary rights to the same extent as the laws of the United States...

  • Page 37
    ... or increase the level of revenues from these clients. We may lose clients due to their merger or acquisition, business failure, contract expiration or their selection of a competing service provider or decision to in-source services. In addition, we may not be able to retain or renew relationships...

  • Page 38
    ... may expose us to legal liability, result in the loss of customers and harm our reputation, which could decrease the revenues and profitability of our IT services business. • Some of our outsourcing services agreements contain pricing provisions that permit a client to request a benchmark study by...

  • Page 39
    ... products, services, technological innovations, acquisitions, divestitures or other significant transactions by HP or its competitors; • quarterly increases or decreases in revenue, gross margin, earnings or cash flows, changes in estimates by the investment community or financial outlook...

  • Page 40
    ... to additional tax liabilities could affect our profitability. We are subject to income and other taxes in the United States and numerous foreign jurisdictions. Our tax liabilities are affected by the amounts we charge in intercompany transactions for inventory, services, licenses, funding and...

  • Page 41
    ... cash- and share-based compensation. Our share-based incentive awards include stock options, restricted stock units and performance-based restricted units, some of which contain conditions relating to HP's stock price performance and HP's long-term financial performance that make the future value...

  • Page 42
    ... harm our business and revenue, costs and expenses and financial condition and stock price. Terrorist acts, conflicts or wars (wherever located around the world) may cause damage or disruption to our business, our employees, facilities, partners, suppliers, distributors, resellers or customers or...

  • Page 43
    ... of vacated space, of which 2 million square feet is leased to third parties. We have seven business segments: Personal Systems, Printing, Enterprise Group, Enterprise Services, Software, HP Financial Services and Corporate Investments. Because of the interrelation of these segments, a majority of...

  • Page 44
    ...States Miami, United States Mississauga, Canada Europe, Middle East, Africa Geneva, Switzerland Asia Pacific Singapore Tokyo, Japan Product Development, Services and Manufacturing The locations of our major product development, manufacturing, data centers, and HP Labs facilities at October 31, 2013...

  • Page 45
    ... no unregistered sales of equity securities in fiscal 2013. Issuer Purchases of Equity Securities Total Number of Shares Purchased Approximate as Part of Publicly Dollar Value of Shares Average Announced that May Yet Be Price Paid Plans or Purchased under the per Share Programs Plans or Programs In...

  • Page 46
    ... cumulative total stockholder return assuming the investment of $100 on the date specified (and the reinvestment of dividends thereafter) in each of HP common stock, the S&P 500 Index, and the S&P Information Technology Index.(1) The comparisons in the graph below are based upon historical data and...

  • Page 47
    ... the Autonomy reporting unit within the Software segment, a goodwill impairment charge associated with the Enterprise Services segment and an intangible asset impairment charge associated with the ''Compaq'' trade name within the Personal Systems segment. Total assets increased in fiscal 2011 and...

  • Page 48
    ... support services, and consulting and integration services; and IT management software, information management solutions and security intelligence/risk management solutions. We have seven reportable business segments for financial reporting purposes: Personal Systems, Printing, the Enterprise Group...

  • Page 49
    ... key financial metrics by segment for fiscal 2013: Printing and Personal Systems Group Personal Enterprise Enterprise Systems Printing Total Group Services In millions, except per share amounts HP Consolidated(1) Software HPFS Net revenue ...Year-over-year (decrease) increase % ...Earnings from...

  • Page 50
    ... challenges relates to changes in the competitive landscape. Our major competitors are expanding their product and service offerings with integrated products and solutions, our business-specific competitors are exerting increased competitive pressure in targeted areas and are going after new markets...

  • Page 51
    ...a competitive pricing environment. To be successful in addressing these challenges, we need to execute on our key initiatives of focusing on products targeted at high usage categories, developing emerging market opportunities, and introducing new revenue delivery models to consumer customers. • In...

  • Page 52
    ... is reasonably assured) along with other revenue recognition principles, including industry specific revenue recognition guidance. We enter into contracts to sell our products and services, and while many of our sales agreements contain standard terms and conditions, there are agreements we enter...

  • Page 53
    ... related to the sale. We record estimated reductions to revenue for customer and distributor programs and incentive offerings, including price protection, promotions, other volume-based incentives and expected returns. Future market conditions and product transitions may require us to take actions...

  • Page 54
    ..., and discount rates. Fair value estimates are based on the assumptions management believes a market participant would use in pricing the asset or liability. Amounts recorded in a business combination may change during the measurement period, which is a period not to exceed one year from the date of...

  • Page 55
    ... associated with business-specific characteristics and the uncertainty related to the reporting unit's ability to execute on the projected cash flows. Under the market approach, we estimate fair value based on market multiples of revenue and earnings derived from comparable publicly-traded companies...

  • Page 56
    ... respectively. In estimating the fair value of our reporting units, we have taken into consideration the challenging industry and market trends that existed as of August 1, 2013, the date of the annual goodwill impairment test, for each respective reporting unit. In order to evaluate the sensitivity...

  • Page 57
    ...Financial Statements in Item 8, which are incorporated herein by reference. Taxes on Earnings We calculate our current and deferred tax provisions based on estimates and assumptions that could differ from the final positions reflected in our income tax returns filed during the subsequent fiscal year...

  • Page 58
    ...we will distribute to the United States and provide the U.S. federal taxes due on these amounts. Further, as a result of certain employment actions and capital investments we have undertaken, income from manufacturing activities in certain countries is subject to reduced tax rates and, in some cases...

  • Page 59
    ...SUBSIDIARIES Management's Discussion and Analysis of Financial Condition and Results of Operations (Continued) Inventory We state our inventory at the lower of cost or market. We make adjustments to reduce the cost of inventory to its net realizable value, if required, at the product group level for...

  • Page 60
    ... periodic benefit cost, the calculation of the expected long-term return on plan assets uses the fair value of plan assets as of the beginning of the fiscal year. Our major assumptions vary by plan, and the weighted-average rates used are set forth in Note 15 to the Consolidated Financial Statements...

  • Page 61
    ... charge associated with the Autonomy reporting unit within the Software segment, an $8.0 billion goodwill impairment within the ES segment and a $1.2 billion intangible asset impairment associated with the ''Compaq'' trade name within the Personal Systems segment. For fiscal 2011, represents...

  • Page 62
    ...Condition and Results of Operations (Continued) The components of the weighted net revenue change were as follows for the following fiscal years ended October 31: 2013 2012 Percentage Points Personal Systems ...Enterprise Services ...Enterprise Group ...Printing ...HP Financial Services ...Software...

  • Page 63
    ...per unit (''ARU'') in consumer printers. Fiscal 2012 compared with Fiscal 2011 From a segment perspective, the total decrease in our gross margin was due primarily to gross margin decreases in ES, EG and, to a lesser extent, in Personal Systems, Printing and Software. HPFS experienced a gross margin...

  • Page 64
    ... 2013 due primarily to cost savings associated with our ongoing restructuring efforts that impacted all of our segments. Partially offsetting the decline was higher marketing expenses to support new product introductions and increased administrative expenses due in part to higher consulting project...

  • Page 65
    HEWLETT-PACKARD COMPANY AND SUBSIDIARIES Management's Discussion and Analysis of Financial Condition and Results of Operations (Continued) impairment charges of $3.1 billion and $1.2 billion associated with the acquisition of Autonomy and the ''Compaq'' trade name, respectively. For more information...

  • Page 66
    ...into account these changes, effective at the beginning of our first quarter of fiscal 2013, our seven reportable segments are Personal Systems, Printing, the Enterprise Group, Enterprise Services, Software, HP Financial Services and Corporate Investments. Printing and Personal Systems Group Printing...

  • Page 67
    HEWLETT-PACKARD COMPANY AND SUBSIDIARIES Management's Discussion and Analysis of Financial Condition and Results of Operations (Continued) The components of the weighted net revenue change by Personal Systems business units were as follows for the following fiscal years ended October 31: 2013 2012 ...

  • Page 68
    ... managed print services businesses. Net revenue for Consumer Hardware remained flat due to a 7% increase in ARU, the effect of which was offset by a 5% reduction in volume. Unit volume and ARU increased within high-value consumer printers as a result of our continued focus on those more profitable...

  • Page 69
    ... $ 5,194 $ 6,265 15.3% 17.4% 19.9% The components of the weighted net revenue change by business units were as follows for the following fiscal years ended October 31: 2013 2012 Percentage Points Industry Standard Servers . Business Critical Systems . Technology Services ...Storage ...Networking...

  • Page 70
    ...while declines in third-party hardware support were offset by growth in project services. Networking net revenue increased 4% in fiscal 2012 due to higher market demand for our core data center products, the effect of which was partially offset by competitive pricing pressures and the divestiture of...

  • Page 71
    HEWLETT-PACKARD COMPANY AND SUBSIDIARIES Management's Discussion and Analysis of Financial Condition and Results of Operations (Continued) Enterprise Services For fiscal years ended October 31 2013 2012 2011 In millions Net revenue ...Earnings from operations ...Earnings from operations as a % of ...

  • Page 72
    ... increased 20.6% (increased 21.3% on a constant currency basis) in fiscal 2012 due to revenue from acquired companies, primarily Autonomy, which was acquired in October 2011. In fiscal 2012, net revenue from services, support and licenses increased by 71%, 16% and 8%, respectively. Software earnings...

  • Page 73
    HEWLETT-PACKARD COMPANY AND SUBSIDIARIES Management's Discussion and Analysis of Financial Condition and Results of Operations (Continued) HP Financial Services For the fiscal years ended October 31 2013 2012 2011 In millions Net revenue ...Earnings from operations ...Earnings from operations as a ...

  • Page 74
    ... are reflected in the segment balances are eliminated in our Consolidated Financial Statements. The portfolio assets and ratios derived from the segment balance sheet for HPFS were as follows for the following fiscal years ended October 31: 2013 In millions 2012 Portfolio assets(1) ...Allowance for...

  • Page 75
    ...fiscal 2011 related to the wind down of the webOS device business. The loss from operations in Corporate Investments was also due to expenses associated with corporate strategy, global alliances and HP Labs. LIQUIDITY AND CAPITAL RESOURCES We use cash generated by operations as our primary source of...

  • Page 76
    ...day senior unsecured bridge term loan agreement that was entered into in August 2011 and terminated in November 2011. (2) Sources and Uses of Cash The following table summarizes the key cash flow metrics from our consolidated statements of cash flow: For the fiscal years ended October 31 2013 2012...

  • Page 77
    ... to sale of our product. DOS is calculated by dividing ending inventory by a 90-day average cost of goods sold. Our inventory balance was $6.0 billion as of October 31, 2013. Days of purchases outstanding in accounts payable (''DPO'') measures the average number of days our accounts payable balances...

  • Page 78
    ... share repurchase programs, see Item 5 and Note 14 to the Consolidated Financial Statements in Item 8, which are incorporated herein by reference. CAPITAL RESOURCES Debt Levels For the fiscal years ended October 31 2013 2012 2011 In millions, except interest rates and ratios Short-term debt ...Long...

  • Page 79
    HEWLETT-PACKARD COMPANY AND SUBSIDIARIES Management's Discussion and Analysis of Financial Condition and Results of Operations (Continued) Our debt-equity ratio is calculated as the carrying value of debt divided by the carrying value of equity. Our debt-equity ratio decreased by 0.43x in fiscal ...

  • Page 80
    ... any fair value adjustments, discounts or premiums. Amounts represent the expected interest payments relating to our long-term debt. We have outstanding interest rate swap agreements accounted for as fair value hedges that have the economic effect of changing fixed interest rates associated with...

  • Page 81
    HEWLETT-PACKARD COMPANY AND SUBSIDIARIES Management's Discussion and Analysis of Financial Condition and Results of Operations (Continued) Statements in Item 8, which is incorporated herein by reference, for additional information about our retirement and post-retirement benefit plans. (5) We ...

  • Page 82
    ... result in a foreign exchange fair value loss of $80 million and $71 million at October 31, 2013 and October 31, 2012, respectively. Interest rate risk We also are exposed to interest rate risk related to our debt and investment portfolios and financing receivables. We issue long-term debt in either...

  • Page 83
    ...rate debt would be beneficial. In order to hedge the fair value of certain fixed-rate investments, we may enter into interest rate swaps that convert fixed interest returns into variable interest returns. We may use cash flow hedges to hedge the variability of LIBOR-based interest income received on...

  • Page 84
    ... Income ...Consolidated Balance Sheets ...Consolidated Statements of Cash Flows ...Consolidated Statements of Stockholders' Equity ...Notes to Consolidated Financial Statements ...Note 1: Summary of Significant Accounting Policies ...Note 2: Stock-Based Compensation ...Note 3: Net Earnings Per Share...

  • Page 85
    ... consolidated balance sheets of Hewlett-Packard Company and subsidiaries as of October 31, 2013 and 2012, and the related consolidated statements of earnings, comprehensive income, stockholders' equity, and cash flows for each of the three years in the period ended October 31, 2013. These financial...

  • Page 86
    ... Oversight Board (United States), the accompanying consolidated balance sheets of Hewlett-Packard Company and subsidiaries as of October 31, 2013 and 2012, and the related consolidated statements of earnings, comprehensive income, stockholders' equity and cash flows for each of the three years in...

  • Page 87
    ... public accounting firm, as stated in their report which appears on page 78 of this Annual Report on Form 10-K. /s/ MARGARET C. WHITMAN Margaret C. Whitman President and Chief Executive Officer December 27, 2013 /s/ CATHERINE A. LESJAK Catherine A. Lesjak Executive Vice President and Chief Financial...

  • Page 88
    ...-PACKARD COMPANY AND SUBSIDIARIES Consolidated Statements of Earnings For the fiscal years ended October 31 2013 2012 2011 In millions, except per share amounts Net revenue: Products ...Services ...Financing income ...Total net revenue ...Costs and expenses: Cost of products ...Cost of services...

  • Page 89
    HEWLETT-PACKARD COMPANY AND SUBSIDIARIES Consolidated Statements of Comprehensive Income For the fiscal years ended October 31 2013 2012 2011 In millions Net earnings (loss) ...Other comprehensive income (loss) before tax: Change in unrealized gains on available-for-sale securities: Unrealized ...

  • Page 90
    HEWLETT-PACKARD COMPANY AND SUBSIDIARIES Consolidated Balance Sheets As of October 31 2013 2012 In millions, except par value ASSETS Current assets: Cash and cash equivalents ...Accounts receivable ...Financing receivables ...Inventory ...Other current assets ...Total current assets ...Property, ...

  • Page 91
    ..., net ...Cash flows from financing activities: Repayment of commercial paper and notes payable, net Issuance of debt ...Payment of debt ...Issuance of common stock under employee stock plans . Repurchase of common stock ...Excess tax benefit from stock-based compensation ...Cash dividends paid...

  • Page 92
    ... . Repurchases of common stock ...Tax deficiency from employee stock plans Cash dividends declared ...Stock-based compensation expense ...Changes in non-controlling interest ... (1) Balance October 31, 2013 ... The accompanying notes are an integral part of these Consolidated Financial Statements...

  • Page 93
    ... software sales to channel partners upon receiving evidence that the software has been sold to a specific end user. When a sales arrangement contains multiple elements, such as hardware and software products, licenses and/or services, HP allocates revenue to each element based on a selling price...

  • Page 94
    ... unit of accounting. HP records estimated reductions to revenue for customer and distributor programs and incentive offerings, including price protection, promotions, other volume-based incentives and expected returns. Future market conditions and product transitions may require HP to take actions...

  • Page 95
    HEWLETT-PACKARD COMPANY AND SUBSIDIARIES Notes to Consolidated Financial Statements (Continued) Note 1: Summary of Significant Accounting Policies (Continued) Products revenue Hardware Under HP's standard terms and conditions of sale, HP transfers title and risk of loss to the customer at the time ...

  • Page 96
    ... of return over the lease term. Deferred revenue and deferred costs Deferred revenue represents amounts received in advance for product support contracts, software customer support contracts, outsourcing startup services work, consulting and integration projects, product sales or leasing income. The...

  • Page 97
    ... operations, and contract cancellation costs. HP records restructuring charges based on estimated employee terminations and site closure and consolidation plans. HP accrues for severance and other employee separation costs under these actions when it is probable that benefits will be paid and the...

  • Page 98
    ...-PACKARD COMPANY AND SUBSIDIARIES Notes to Consolidated Financial Statements (Continued) Note 1: Summary of Significant Accounting Policies (Continued) Debt and Marketable Equity Securities Debt and marketable equity securities are generally considered available-for-sale and are reported at fair...

  • Page 99
    ... to support a customer services contract generally do not exceed the term of the customer contract. Upon retirement or disposition, the asset cost and related accumulated depreciation are removed with any gain or loss recognized in the Consolidated Statements of Earnings. HP capitalizes certain...

  • Page 100
    ...associated with business-specific characteristics and the uncertainty related to the reporting unit's ability to execute on the projected cash flows. Under the market approach, HP estimates fair value based on market multiples of revenue and earnings derived from comparable publicly-traded companies...

  • Page 101
    ... circumstances. HP utilizes outsourced manufacturers around the world to manufacture HP-designed products. HP may purchase product components from suppliers and sell those components to its outsourced manufacturers creating receivable balances from the outsourced manufacturers. The three largest 93

  • Page 102
    ...hedging relationships entered into on or after July 17, 2013. The adoption of this guidance did not have any effect on HP's Consolidated Financial Statements. Note 2: Stock-Based Compensation HP's stock-based compensation plans include incentive compensation plans and an employee stock purchase plan...

  • Page 103
    ... option is equal to the fair market value of HP's stock on the option grant date (as determined by the reported sale prices of HP's stock when the market closes on that date). The majority of the stock options issued by HP contain only service vesting conditions. However, starting in fiscal 2011, HP...

  • Page 104
    HEWLETT-PACKARD COMPANY AND SUBSIDIARIES Notes to Consolidated Financial Statements (Continued) Note 2: Stock-Based Compensation (Continued) HP's PRU program provides for the issuance of PRUs representing hypothetical shares of HP stock. Each PRU award reflects a target number of shares (''Target ...

  • Page 105
    ... received had all option holders exercised their options on October 31, 2013, 2012 and 2011. The aggregate intrinsic value is the difference between HP's closing stock price on the last trading day of fiscal 2013, 2012 and 2011 and the exercise price, multiplied by the number of in-the-money options...

  • Page 106
    ...fair value of the Target Shares using HP's closing stock price on the measurement date. The weighted-average fair value for these PRUs was as follows: 2013 2012 (1) Weighted-average fair value of grants per unit ...(1) $13.14 $27.00(2) Reflects the weighted-average fair value for the second year...

  • Page 107
    ... Consolidated Financial Statements (Continued) Note 2: Stock-Based Compensation (Continued) average assumptions, in addition to projections of market conditions, used to measure the weightedaverage fair values were as follows for fiscal years ended October 31: 2013 2012 2011 Weighted-average fair...

  • Page 108
    ... 1.1 years and 1.4 years, respectively. Employee Stock Purchase Plan HP sponsors the Hewlett-Packard Company 2011 Employee Stock Purchase Plan (the ''2011 ESPP''), pursuant to which eligible employees may contribute up to 10% of base compensation, subject to certain income limits, to purchase shares...

  • Page 109
    ... for the following fiscal years ended October 31: 2013 2012 2011 In millions, except per share amounts Numerator: Net earnings (loss)(1) ...Denominator: Weighted-average shares used to compute basic EPS ...Dilutive effect of employee stock plans ...Weighted-average shares used to compute diluted...

  • Page 110
    HEWLETT-PACKARD COMPANY AND SUBSIDIARIES Notes to Consolidated Financial Statements (Continued) Note 4: Balance Sheet Details Balance sheet details were as follows for the following fiscal years ended October 31: Accounts Receivable, Net 2013 2012 In millions 2011 Accounts receivable, gross ......

  • Page 111
    HEWLETT-PACKARD COMPANY AND SUBSIDIARIES Notes to Consolidated Financial Statements (Continued) Note 4: Balance Sheet Details (Continued) Inventory 2013 2012 In millions Finished goods ...Purchased parts and fabricated assemblies ... $3,847 2,199 $6,046 $4,094 2,223 $6,317 Other Current Assets ...

  • Page 112
    HEWLETT-PACKARD COMPANY AND SUBSIDIARIES Notes to Consolidated Financial Statements (Continued) Note 4: Balance Sheet Details (Continued) Long-Term Financing Receivables and Other Assets 2013 2012 In millions Financing receivables, net ...Deferred tax assets-long-term Deferred costs-long-term ......

  • Page 113
    ...2013 and 2012 and changes in the carrying amount of goodwill during the fiscal years ended October 31, 2013 and 2012 are as follows: HP Personal Enterprise Enterprise Financial Corporate Systems Printing Group Services Software Services Investments In millions Total Net balance at October 31, 2011...

  • Page 114
    ... impairment test, coupled with market conditions and business trends within ES. The fair value of the ES reporting unit was based on the income approach. The decline in the fair value of the ES reporting unit resulted from lower projected revenue growth rates and profitability levels as well as an...

  • Page 115
    ...of an asset group to its undiscounted cash flows. HP considered the lower-than-expected revenue and profitability levels over a sustained period of time, the trading values of HP stock and downward revisions to management's short-term and long-term forecast for the Autonomy business to be indicators...

  • Page 116
    ... to the Autonomy reporting unit as described above. The remaining $1.2 billion was related to a change in the Compaq branding strategy. In May 2012, HP approved a change to its branding strategy for personal computers, which has resulted in a more limited and focused use of the ''Compaq'' trade name...

  • Page 117
    ... contracts, customer lists and distribution agreements ...Developed and core technology and patents ...Trade name and trade marks ... 8 7 7 Estimated future amortization expense related to finite-lived intangible assets at October 31, 2013 is as follows: Fiscal year: In millions 2014 ...2015...

  • Page 118
    ...with the 2012 Plan through fiscal year 2014, with a portion of those employees exiting the company as part of voluntary enhanced early retirement (''EER'') programs in the United States and in certain other countries. The majority of the U.S. EER program was funded through the HP Pension Plan. As of...

  • Page 119
    ...On June 1, 2010, HP's management announced a plan to restructure its enterprise services business, which included the ITO and ABS business units. The multi-year restructuring program included plans to consolidate commercial data centers, tools and applications. The total expected cost of the plan is...

  • Page 120
    HEWLETT-PACKARD COMPANY AND SUBSIDIARIES Notes to Consolidated Financial Statements (Continued) Note 8: Fair Value Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability (an exit price) in an orderly transaction between market participants at the ...

  • Page 121
    ... and foreign government notes and bonds, and common stock and equivalents. HP values cash equivalents and equity investments using quoted market prices, alternative pricing sources, including net asset value, or models utilizing market observable inputs. The fair value of debt instruments were...

  • Page 122
    ... with the ES reporting unit within the Services segment and an intangible asset impairment charge of $1.2 billion associated with the ''Compaq'' trade name within the Personal Systems segment. The fair value of HP's reporting units was classified in Level 3 of the fair value hierarchy due to...

  • Page 123
    HEWLETT-PACKARD COMPANY AND SUBSIDIARIES Notes to Consolidated Financial Statements (Continued) Note 8: Fair Value (Continued) value calculations for the Autonomy intangibles and the ''Compaq'' trade name were based on a weighted average cost of capital adjusted for the relevant risk associated ...

  • Page 124
    ... HP is a global company exposed to foreign currency exchange rate fluctuations and interest rate changes in the normal course of its business. As part of its risk management strategy, HP uses derivative instruments, primarily forward contracts, option contracts, interest rate swaps, and total return...

  • Page 125
    ...as fair value hedges, HP recognizes the gain or loss on the derivative instrument, as well as the offsetting loss or gain on the hedged item, in Interest and other, net in the Consolidated Statements of Earnings in the period of change. Cash Flow Hedges HP uses a combination of forward contracts and...

  • Page 126
    ...' equity in the Consolidated Balance Sheets and subsequently reclassifies these amounts into earnings in the period during which the hedged transaction is recognized in earnings. HP reports the effective portion of cash flow hedges in the same financial statement line item as the changes in value of...

  • Page 127
    ... on the Consolidated Statements of Earnings The pre-tax effect of derivative instruments and related hedged items in a fair value hedging relationship for fiscal years ended October 31, 2013 and October 31, 2012 were as follows: Derivative Instrument Interest rate contracts ...(Loss) Gain Recognized...

  • Page 128
    ...revenue Cost of products Other operating expenses Interest and other, net $ 48 (165) 1 10 $(106) Total cash flow hedges ...Net investment hedges: Foreign exchange contracts ... Interest and other, net $ - Gain (Loss) Reclassified from Accumulated OCI into Income (Effective Portion) Location 2012...

  • Page 129
    ... the accompanying Consolidated Balance Sheets, were as follows: October 31, October 31, 2013 2012 In millions Minimum lease payments receivable ...Unguaranteed residual value ...Unearned income ...Financing receivables, gross ...Allowance for doubtful accounts ...Financing receivables, net ...Less...

  • Page 130
    ... Notes to Consolidated Financial Statements (Continued) Note 10: Financing Receivables and Operating Leases (Continued) As of October 31, 2013, scheduled maturities of HP's minimum lease payments receivable were as follows for the following fiscal years ended October 31: 2014 2015 2016 2017...

  • Page 131
    ...-off or specific reserve when an account reaches 180 days past due, or sooner if HP determines that the account is not collectible. The allowance for doubtful accounts for financing receivables was as follows: For the fiscal years ended October 31 2013 2012 2011 In millions Balance at beginning...

  • Page 132
    ... Notes to Consolidated Financial Statements (Continued) Note 10: Financing Receivables and Operating Leases (Continued) The following table summarizes the aging and non-accrual status of gross financing receivables: October 31, October 31, 2013 2012 In millions Billed(1): Current 1-30 days ...Past...

  • Page 133
    .... The changes in HP's aggregate product warranty liabilities were as follows for the following fiscal years ended October 31: 2013 2012 In millions Balance at beginning of year ...Accruals for warranties issued ...Adjustments related to pre-existing warranties Settlements made (in cash or in...

  • Page 134
    ... Notes to Consolidated Financial Statements (Continued) Note 12: Borrowings Notes Payable and Short-Term Borrowings Notes payable and short-term borrowings, including the current portion of long-term debt, were as follows for the following fiscal years ended October 31: 2013 Amount Outstanding In...

  • Page 135
    ... to Consolidated Financial Statements (Continued) Note 12: Borrowings (Continued) Long-Term Debt Long-term debt was as follows for the following fiscal years ended October 31: 2013 2012 In millions U.S. Dollar Global Notes 2006 Shelf Registration Statement: $500 issued at discount to par at a price...

  • Page 136
    ... the company to offer for sale, from time to time, in one or more offerings, an unspecified amount of debt securities, common stock, preferred stock, depositary shares and warrants. The 2012 Shelf Registration Statement replaced the registration statement filed in May 2009. HP's Board of Directors...

  • Page 137
    HEWLETT-PACKARD COMPANY AND SUBSIDIARIES Notes to Consolidated Financial Statements (Continued) Note 12: Borrowings (Continued) Aggregate future maturities of long-term debt at face value (excluding a fair value adjustment related to hedged debt of $147 million, a premium on debt issuance of $14 ...

  • Page 138
    HEWLETT-PACKARD COMPANY AND SUBSIDIARIES Notes to Consolidated Financial Statements (Continued) Note 13: Taxes on Earnings (Continued) There was no net excess tax benefit recorded as a result of the exercise of employee stock options and other employee stock programs in fiscal 2013. Deficits of ...

  • Page 139
    ...Notes to Consolidated Financial Statements (Continued) Note 13: Taxes on Earnings (Continued) As a result of certain employment actions and capital investments HP has undertaken, income from manufacturing and services in certain countries is subject to reduced tax rates, and in some cases is wholly...

  • Page 140
    HEWLETT-PACKARD COMPANY AND SUBSIDIARIES Notes to Consolidated Financial Statements (Continued) Note 13: Taxes on Earnings (Continued) HP has filed petitions with the U.S. Tax Court regarding certain proposed IRS adjustments regarding tax years 1999 through 2003 and is continuing to contest ...

  • Page 141
    HEWLETT-PACKARD COMPANY AND SUBSIDIARIES Notes to Consolidated Financial Statements (Continued) Note 13: Taxes on Earnings (Continued) Deferred Income Taxes The significant components of deferred tax assets and deferred tax liabilities were as follows for the following fiscal years ended October 31...

  • Page 142
    HEWLETT-PACKARD COMPANY AND SUBSIDIARIES Notes to Consolidated Financial Statements (Continued) Note 13: Taxes on Earnings (Continued) As of October 31, 2012, HP had $2.9 billion, $6.2 billion and $25.7 billion of federal, state and foreign net operating loss carryforwards, respectively. HP had a ...

  • Page 143
    ... 31, 2013, HP had remaining authorization of approximately $7.6 billion for future share repurchases. Taxes related to Other Comprehensive Income/Loss 2013 2012 2011 In millions Tax (expense) benefit on change in unrealized gains/losses on available-for-sale securities: Tax (expense) benefit on...

  • Page 144
    ... to Consolidated Financial Statements (Continued) Note 14: Stockholders' Equity (Continued) The components of accumulated other comprehensive loss, net of taxes, were as follows for the following fiscal years ended October 31: 2013 2012 In millions 2011 Net unrealized gain on available-for-sale...

  • Page 145
    ... the Consolidated Statements of Earnings was as follows for the following fiscal years ended October 31: U.S. Defined Benefit Plans 2013 2012 2011 Non-U.S. Defined Benefit Plans 2013 2012 2011 In millions Post-Retirement Benefit Plans 2013 2012 2011 Service cost ...Interest cost ...Expected return...

  • Page 146
    ... (credit) cost were as follows for the following fiscal years ended October 31: U.S. Defined Benefit Plans 2013 2012 2011 Non-U.S. Defined Benefit Plans 2013 2012 2011 Post-Retirement Benefit Plans 2013 2012 2011 Discount rate ...Expected increase in compensation levels Expected long-term return on...

  • Page 147
    ...Plans 2013 2012 Post-Retirement Benefit Plans 2013 2012 Discount rate ...Expected increase in compensation levels ... 4.9% 2.0% 4.1% 2.0% 3.9% 2.4% 3.8% 2.4% 3.9% - 3.0% - The net amounts recognized for HP's defined benefit and post-retirement benefit plans in HP's Consolidated Balance Sheets...

  • Page 148
    ... as a restructuring charge. In addition, the HP Pension Plan was remeasured on June 30, 2012, which resulted in no material change to the 2012 net periodic benefit cost or funded status. HP extended to all employees participating in the EER program the opportunity to continue health care coverage at...

  • Page 149
    ... includes units in transferable securities, collective investment schemes, money market funds, cash and deposits. Includes those that invest both long and short primarily in common stocks and credit, relative value, event driven equity, distressed debt and macro strategies. Management of the hedge...

  • Page 150
    ... to Consolidated Financial Statements (Continued) Note 15: Retirement and Post-Retirement Benefit Plans (Continued) Changes in fair value measurements of Level 3 investments during the year ended October 31, 2013, were as follows: U.S. Defined Benefit Plans Debt Securities Alternative Investments...

  • Page 151
    ... includes units in transferable securities, collective investment schemes, money market funds, cash and deposits. Includes those that invest both long and short primarily in common stocks and credit, relative value, event driven equity, distressed debt and macro strategies. Management of the hedge...

  • Page 152
    ... to Consolidated Financial Statements (Continued) Note 15: Retirement and Post-Retirement Benefit Plans (Continued) Changes in fair value measurements of Level 3 investments during the year ended October 31, 2012, were as follows: U.S. Defined Benefit Plans Debt Securities Alternative Investments...

  • Page 153
    ... Defined Benefit Plans 2013 Plan Assets Target Allocation 2013 2012 Post-Retirement Benefit Plans 2013 Plan Assets Target Allocation 2013 2012 Asset Category Public equity securities ...Private/other equity securities . Real estate and other ...Equity related investments ...Debt securities ...Cash...

  • Page 154
    HEWLETT-PACKARD COMPANY AND SUBSIDIARIES Notes to Consolidated Financial Statements (Continued) Note 15: Retirement and Post-Retirement Benefit Plans (Continued) real returns which considers each country's specific inflation outlook. Because HP's investment policy is to employ primarily active ...

  • Page 155
    HEWLETT-PACKARD COMPANY AND SUBSIDIARIES Notes to Consolidated Financial Statements (Continued) Note 16: Commitments (Continued) Future annual lease commitments and sublease rental income as of October 31, 2013 were as follows: 2014 2015 2016 2017 2018 In millions Thereafter Total Operating lease ...

  • Page 156
    ...have phased out levies or are expected to limit the scope of levy schemes and applicability in the digital hardware environment, particularly with respect to sales to business users. HP, other companies and various industry associations have opposed the extension of levies to the digital environment...

  • Page 157
    ... Electronic Data Systems Corporation is a purported collective action filed on May 10, 2006 in the United States District Court for the Southern District of New York claiming that current and former EDS employees allegedly involved in installing and/or maintaining computer software and hardware were...

  • Page 158
    ... al. v. Hewlett-Packard Company is a purported nationwide collective action filed on February 17, 2011 in the United States District Court for the Southern District of Texas claiming that a class of information technology support personnel were misclassified as exempt employees under the Fair Labor...

  • Page 159
    ...10, 2010, the India Directorate of Revenue Intelligence (the ''DRI'') issued show cause notices to Hewlett-Packard India Sales Private Ltd (''HPI''), a subsidiary of HP, seven current HP employees and one former HP employee alleging that HP underpaid customs duties while importing products and spare...

  • Page 160
    HEWLETT-PACKARD COMPANY AND SUBSIDIARIES Notes to Consolidated Financial Statements (Continued) Note 17: Litigation and Contingencies (Continued) ISE GmbH in Germany, a former subsidiary of HP, and the General Prosecutor's Office of the Russian Federation. The approximately A35 million transaction,...

  • Page 161
    ...of the Exchange Act by concealing material information and making false statements about HP's business model, the future of the webOS operating system, and HP's commitment to developing and integrating webOS products, including the TouchPad tablet PC. On April 11, 2012, the defendants filed a motion...

  • Page 162
    ...21, 2011. The lawsuits are currently stayed pending resolution of the Espinoza/Salat consolidated action in federal court. • Cement & Concrete Workers District Council Pension Fund v. Hewlett-Packard Company, et al. is a putative securities class action filed on August 3, 2012 in the United States...

  • Page 163
    ...of the plaintiff's claims that were based on alleged statements and/or omissions made between August 19, 2011 and May 22, 2012. • In re Hewlett-Packard Shareholder Derivative Litigation consists of seven consolidated lawsuits filed beginning on November 26, 2012 in the United States District Court...

  • Page 164
    ... of the Employee Retirement Income Security Act of 1974, as amended, by concealing negative information regarding the financial performance of Autonomy and HP's enterprise services business and by failing to restrict participants from investing in HP stock. On August 16, 2013, HP filed a motion to...

  • Page 165
    ... IT management software, information management solutions and security intelligence/risk management solutions. HP's operations are organized into seven reportable business segments for financial reporting purposes: Personal Systems, Printing, the Enterprise Group, Enterprise Services, Software, HP...

  • Page 166
    ... personal computers (''PCs''), consumer PCs, workstations, thin clients, tablets, retail point-of-sale (''POS'') systems, calculators and other related accessories, software, support and services for the commercial and consumer markets. HP groups commercial notebooks, commercial desktops, commercial...

  • Page 167
    HEWLETT-PACKARD COMPANY AND SUBSIDIARIES Notes to Consolidated Financial Statements (Continued) Note 18: Segment Information (Continued) • LaserJet and Enterprise Solutions delivers HP's commercial and laserjet products, services and solutions to SMB and enterprise segments, including LaserJet ...

  • Page 168
    ... for customers to purchase complete IT solutions, including hardware, software and services from HP. HPFS offers financial solutions to customers to manage to the lowest total cost of ownership-from planning and acquiring technology all the way to replacing or retiring it. HPFS offers leasing...

  • Page 169
    ..., net earnings or net earnings per share. Selected operating results information for each business segment was as follows for the following fiscal years ended October 31: Printing and Personal Systems Personal Enterprise Enterprise Systems Printing Group Services Software(1) In millions HP Financial...

  • Page 170
    ... of segment assets to HP consolidated assets were as follows at October 31: 2013 2012 In millions 2011 Personal Systems ...Printing ...Printing and Personal Systems Group ...Enterprise Group ...Enterprise Services ...Software ...HP Financial Services ...Corporate Investments ...Corporate and...

  • Page 171
    ... represents the customer location. For each of the fiscal years ended October 31, 2013, 2012 and 2011, other than the United States, no country represented more than 10% of HP's total consolidated net revenue. HP reports revenue net of sales taxes, use taxes and value-added taxes directly imposed...

  • Page 172
    ... ...Printing and Personal Systems Group ...Industry Standard Servers . Technology Services ...Storage ...Networking ...Business Critical Systems ... Enterprise Group ...Infrastructure Technology Outsourcing ...Application and Business Services ...Enterprise Services ...Software HP Financial Services...

  • Page 173
    ... ...Acquisition-related charges ...Total costs and expenses ...Earnings (loss) from operations ...Interest and other, net ...Earnings (loss) before taxes ...(Provision) benefit for taxes ...Net earnings (loss) ...Net earnings (loss) per share:(2) Basic ...Diluted ...Cash dividends paid per share...

  • Page 174
    ... the participation of our management, including our principal executive officer and principal financial officer, we conducted an evaluation of any changes in our internal control over financial reporting (as such term is defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act) that occurred...

  • Page 175
    ... Proxy Statement related to its 2014 Annual Meeting of Stockholders to be filed within 120 days after HP's fiscal year end of October 31, 2013 (the ''Proxy Statement'') and is incorporated herein by reference: • Information regarding directors of HP who are standing for reelection and any persons...

  • Page 176
    ... transactions with related persons is set forth under ''Transactions with Related Persons.'' • Information regarding director independence is set forth under ''Corporate Governance Principles and Board Matters-Director Independence.'' ITEM 14. Principal Accounting Fees and Services. Information...

  • Page 177
    ... Data.'' Reports of Independent Registered Public Accounting Firm ...Management's Report on Internal Control Over Financial Reporting . Consolidated Statements of Earnings ...Consolidated Statements of Comprehensive Income ...Consolidated Balance Sheets ...Consolidated Statements of Cash Flows...

  • Page 178
    ... duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. Date: December 27, 2013 HEWLETT-PACKARD COMPANY By: /s/ CATHERINE A. LESJAK Catherine A. Lesjak Executive Vice President and Chief Financial Officer POWER OF ATTORNEY KNOW ALL PERSONS BY THESE PRESENTS...

  • Page 179
    ...Date /s/ RAYMOND J. LANE Raymond J. Lane /s/ ANN M. LIVERMORE Ann M. Livermore /s/ RAYMOND E. OZZIE Raymond E. Ozzie /s/ GARY M. REINER Gary M. Reiner /s/ PATRICIA F. RUSSO Patricia F. Russo /s/ JAMES A. SKINNER James A. Skinner /s/ RALPH V. WHITWORTH Ralph V. Whitworth Director December 27, 2013...

  • Page 180
    ...Floating Rate Global Note due February 24, 2011, 4.250% Global Note due February 24, 2012 and 4.750% Global Note due June 2, 2014 and form of related Officers' Certificate. 4(g) Form of Registrant's Floating Rate Global Note due September 13, 2012, 1.250% Global Note due September 13, 2013 and 2.125...

  • Page 181
    ... stock. 10(a) Registrant's 2004 Stock Incentive Plan.* 10(b) Registrant's 2000 Stock Plan, amended and restated effective September 17, 2008.* 10(c) Registrant's Excess Benefit Retirement Plan, amended and restated as of January 1, 2006.* 10(d) Hewlett-Packard Company Cash Account Restoration Plan...

  • Page 182
    Exhibit Number Exhibit Description Form File No. Incorporated by Reference Exhibit(s) Filing Date 10(e) Registrant's 2005 Pay-for-Results Plan, as amended.* 10(f) Registrant's 2005 Executive Deferred Compensation Plan, as amended and restated effective October 1, 2006.* 10(g) First Amendment ...

  • Page 183
    ...of non-qualified stock options.* 10(y) Form of Stock Notification and Award Agreement for awards of restricted stock.* 10(z) Form of Restricted Stock Unit Agreement for Registrant's 2004 Stock Incentive Plan.* 10(a)(a) First Amendment to the HewlettPackard Company Excess Benefit Retirement Plan.* 10...

  • Page 184
    ... and Margaret C. Whitman.* 10(o)(o) Letter Agreement, dated November 17, 2011, among the Registrant, Relational Investors LLC and the other parties named therein.* 10(p)(p) Seventh Amendment to the Registrant's 2005 Executive Deferred Compensation Plan, as amended and restated effective October...

  • Page 185
    Exhibit Number Exhibit Description Form File No. Incorporated by Reference Exhibit(s) Filing Date 10(s)(s) Second Amended and Restated Hewlett-Packard Company 2004 Stock Incentive Plan, as amended effective February 28, 2013.* 10(t)(t) Aircraft Time Sharing Agreement, dated April 22, 2013, ...

  • Page 186
    ...-term debt not filed herewith as to which the total amount of securities authorized thereunder does not exceed 10% of the total assets of the registrant and its subsidiaries on a consolidated basis and (2) any omitted schedules to any material plan of acquisition, disposition or reorganization set...

  • Page 187
    ... 12 HEWLETT-PACKARD COMPANY AND SUBSIDIARIES Statements of Computation of Ratio of Earnings to Fixed Charges(1) 2013 Fiscal years ended October 31 2012 2011 2010 In millions, except ratios 2009 Earnings (loss): Earnings (loss) before taxes ...Adjustments: Non-controlling interests in the income of...

  • Page 188
    ... -Hewlett-Packard Argentina S.R.L. AUSTRALIA -Hewlett-Packard Australia Pty. Ltd. -HP Enterprise Services Australia Pty Ltd -HP Financial Services (Australia) Pty Limited AUSTRIA -Hewlett-Packard Gesellschaft mbH BELGIUM -Hewlett-Packard Belgium SPRL/BVBA -Hewlett-Packard Coordination Center SVBA...

  • Page 189
    ... -Hewlett-Packard (Chongqing) Co., Ltd -Hewlett-Packard Technology (Shanghai) Co. Ltd. -Hewlett-Packard Trading (Shanghai) Co. Ltd. -Shanghai Hewlett-Packard Co. Ltd. COLOMBIA -Hewlett Packard Colombia Ltda. COSTA RICA -Hewlett-Packard Costa Rica Ltda CROATIA -Hewlett-Packard d.o.o. CYPRUS -Hewlett...

  • Page 190
    ...´ ag Kft. INDIA -Hewlett-Packard Globalsoft Private Limited -Hewlett-Packard India Sales Private Limited -MphasiS Limited INDONESIA -PT. Hewlett-Packard Indonesia IRELAND -Hewlett-Packard International Bank Public Limited Company -Hewlett-Packard Ireland Limited -Hewlett-Packard (Manufacturing) Ltd...

  • Page 191
    ... NIGERIA -Hewlett-Packard (Nigeria) Limited NORWAY -Hewlett-Packard Norge AS PERU -Hewlett-Packard Peru S.R.L. PHILIPPINES -Hewlett-Packard Philippines Corporation POLAND -Hewlett-Packard Polska Sp. z.o.o. PORTUGAL -Hewlett-Packard Portugal Lda. PUERTO RICO -Hewlett-Packard Technology Center, Inc...

  • Page 192
    ...) Limited TURKEY -Hewlett-Packard Teknoloji C¨ ¸ oz¨ umleri Limited S ¸irketi UGANDA -Hewlett Packard Uganda Limited UNITED ARAB EMIRATES -Hewlett-Packard Middle East FZ-LLC UNITED KINGDOM -Hewlett-Packard Limited -Hewlett-Packard Manufacturing Ltd -HP Enterprise Services UK Ltd UNITED STATES...

  • Page 193
    ... -Hewlett-Packard Products CV 2, LLC -Hewlett-Packard Software, LLC -Hewlett-Packard State & Local Enterprise Services, Inc. -Hewlett-Packard World Services Corporation -Hewlett-Packard World Trade, LLC -HP Enterprise Services, LLC -HP Financial Services International Holdings Company -HPFS Global...

  • Page 194
    -WTAF, LLC VENEZUELA -Hewlett-Packard Venezuela, S.R.L. VIETNAM -Hewlett-Packard Vietnam Ltd.

  • Page 195
    ... Compensation Plan, (11) Registration Statement (Form S-8 No. 002-92331) pertaining to the Hewlett-Packard Company 401(k) Plan, (12) Registration Statement (Form S-8 No. 033-31496) pertaining to the Employee Stock Purchase Plan and Service Anniversary Stock Plan, (13) Registration Statement (Form...

  • Page 196
    ... 1997 Nonqualified Stock Option Plan of Electronic Data Systems Corporation, and the 2000 Nonqualified Stock Option Plan of Electronic Data Systems Corporation, (32) Registration Statement (Form S-8 No. 333-149437) pertaining to the EYP Mission Critical Facilities, Inc. 2001 Stock Option and Grant...

  • Page 197
    ... Hewlett-Packard Company 2011 Employee Stock Purchase Plan, (41) Registration Statement (Form S-8 No. 333-174389) pertaining to the Stonebraker Systems, Inc. 2005 Stock Plan, (42) Registration Statement (Form S-8 No. 333-177263) pertaining to the Autonomy Corporation plc 1998 U.S. Share Option Plan...

  • Page 198
    ... Whitman, certify that: 1. 2. I have reviewed this Annual Report on Form 10-K of Hewlett-Packard Company; Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances...

  • Page 199
    ...A. Lesjak, certify that: 1. 2. I have reviewed this Annual Report on Form 10-K of Hewlett-Packard Company; Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances...

  • Page 200
    ... Catherine A. Lesjak Executive Vice President and Chief Financial Officer A signed original of this written statement required by Section 906 has been provided to HewlettPackard Company and will be retained by Hewlett-Packard Company and furnished to the Securities and Exchange Commission or its...

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    ... of management for future operations, including the e[ecution of restructuring plans and any resulting cost savings or revenue or proÆ­tability improvements; any statements concerning the e[pected development, performance, market share or competitive performance relating to products or services; any...