HP CEO and President Dion Weisler will step down after about four years in the position. In a news release titled, “HP Announces CEO Successor, the company identified Enrique Lores as the next company executive.
The announcement has the typical quotes, from the incoming and outgoing executives and from the board chair. Weisler’s decision is positioned as “due to a family health matter” and notes that “he will be returning home to Australia.” Chip Bergh, the board chair, reinforces the message in his quote:
“On behalf of the board, we respect Dion’s decision to support the needs of his family. We thank him for leading HP post-separation, building a strong team and restoring the company to drive strong shareholder value creation over the last four years.”
In after-hours trading, HP shares dropped more than 6%, according to a Wall Street Journal article.
How does this company news release compare to others announcing CEO resignations, for example, Overstock?
What’s your view of mentioning Weisler’s personal situation in the announcement? Why would the company include this? From Weisler’s point of view, what are the reasons to include or exclude this information?