HP closes EDS purchase; Outlines services exec line-up

Summary:HP on Tuesday said it completed its $13.9 billion acquisition of EDS and announced its management team for its services unit.

HP on Tuesday said it completed its $13.9 billion acquisition of EDS and announced its management team for its services unit.

With the EDS purchase, HP's services business will have annual revenue of more than $38 billion and 210,000 employees. Now the integration begins. HP CEO Mark Hurd has given some hints about consolidating EDS data centers and has noted that his company has the infrastructure on hand to run his newly acquired prize.


On the software side there are already interconnections between EDS and HP. For instance, HP bought Opsware, which counts EDS as one of its largest customers.

HP reiterated in a statement that it will hold an analyst meeting Sept. 15 to detail how EDS will be integrated and provide updated financial guidance. It was clear on HP's latest earnings call that its current quarter would be focused heavily on integrating EDS.

Here's how things will come together for HP and EDS. Ron Rittenmeyer, CEO of EDS, will run the consolidated outsourcing services unit for HP. HP's Technology Solutions Group--the company's current services unit--will hand over its outsourcing services operations to EDS. HP's TSG group will focus on servers, storage, software and technology services--including installation, maintenance and design of systems.

In a nutshell, EDS will specialize in outsourcing and relationship management. HP will handle the information systems under the hood.


Rittenmeyer's team is comprised of both EDS and HP executives. Here are some of the moving executive parts for those of you keeping score at home. In a statement HP outlined the following execs reporting to Rittenmeyer:

Michael Coomer, 55, senior vice president, Asia Pacific & Japan, who held a similar role at EDS.

Joe Eazor, 46, senior vice president, Transformation. He was previously responsible at EDS for corporate strategy and business development.

Bobby Grisham, 54, senior vice president, Global Sales, who held a similar role at EDS.

Jeff Kelly, 52, senior vice president, Americas, who held a similar role at EDS.

Mike Koehler, 41, senior vice president, Infrastructure Technology Outsourcing (ITO) & Business Process Outsourcing (BPO), who held a similar role at EDS.

Andy Mattes, 47, senior vice president, Applications Services. He was previously senior vice president, HP Outsourcing Services.

Maureen McCaffrey, 45, vice president, Worldwide Marketing, who held a similar role at EDS.

Dennis Stolkey, 60, senior vice president, U.S. Public Sector, who held a similar role at EDS.

Bill Thomas, 48, senior vice president, Europe, Middle East & Africa, who held a similar role at EDS.

Among other appointments:

Craig Flower, 46, senior vice president of IT, reporting to Randy Mott, executive vice president and chief information officer at HP. Flower was previously HP’s senior vice president for eBusiness, customer and sales operations.

Tom Haubenstricker, 46, vice president, Finance, reporting to Cathie Lesjak, executive vice president and chief financial officer at HP. Haubenstricker was previously vice president and chief financial officer for EDS’ EMEA region.

Deborah Kerr, 36, vice president and chief technology officer, reporting to Shane Robison, executive vice president and chief strategy and technology officer at HP. Kerr was previously HP’s vice president and chief technology officer for services.

Mike Paolucci, 48, vice president, Human Resources, reporting to Marcela Perez de Alonso, executive vice president of Human Resources at HP. Paolucci was previously EDS’ vice president of Global Compensation and Benefits/HR Business Development.

Sylvia Steinheiser, 43, vice president, Legal, reporting to Mike Holston, executive vice president, general counsel and secretary at HP. Steinheiser was previously HP’s vice president, Legal, for the Americas.

Also see:

Topics: CXO, Data Centers, Enterprise Software, Hardware, Hewlett-Packard, Storage


Larry Dignan is Editor in Chief of ZDNet and SmartPlanet as well as Editorial Director of ZDNet's sister site TechRepublic. He was most recently Executive Editor of News and Blogs at ZDNet. Prior to that he was executive news editor at eWeek and news editor at Baseline. He also served as the East Coast news editor and finance editor at CN... Full Bio

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