HP Anti-Merger Sentiment: Misleading?

Hewlett-Packard Compaq Computer

Brian Vincik, a 23-year HP veteran with lengthy experience in channel sales, said the vote's location in Cupertino, Calif., "skewed" anti-merger sentiment at the event. "I think the Bay area is a bad place to hold this meeting," he said, adding that many retirees remember "the old HP." HP's management team has a plan in place so that the company will thrive whether the deal is approved or not, Vincik noted.

His wife, Beth Vincik, a former HP employee who has worked for several HP partners and distributors, said that no matter what happens, "HP is going to get back on its feet and get back to business." HP board member Walter Hewlett's strong opposition to the merger will make the deal more successful because his efforts forced HP management to sharpen their focus on the integration of the two companies, she said, adding that the opposition is probably more vocal than the proponents of the deal. "People who are adamantly against something tend to be more vocal," she said.

Thomas Collins, a Compaq employee and HP shareholder, said he voted for the deal because it is the "only way both companies can grow" and remain a formidable competitor to IBM. A lot of employees are against the merger because they are resistant to change, and that sentiment pervaded at the shareholder meeting, he said.

Doug Gordon, a former HP employee and shareholder, said he voted against the deal because he was troubled by the stance of HP Chairman and CEO Carly Fiorina. "Carly's balance between human values and self-promotion is disconcerting," he said.

Though Fiorina and HP's management have declared a preliminary victory, Gordon believes the deal will be voted down by a narrow margin. If the deal isn't approved, he said, the proposed merger "has set us back six months to helping us find ourselves again." But HP always bounces back, he added.

Paul Raineri, an HP shareholder and vice president of Government Financial Strategies, a Sacramento, Calif.-based consulting firm, said he voted for the deal. "From a business perspective, it is the right thing to do for HP. And I am confident that Carly brought that out today," he said.

Raineri's sister, Lori, president of Government Financial Strategies, said she initially opposed the deal but changed her mind after she heard Fiorina's reasons for the deal. She said Fiorina has articulately explained HP's rationale for the merger, and both companies would be worse off if the merger didn't go through.

LARRY HOOPER, ELIZABETH MONTALBANO and MARCIA SAVAGE contributed to this story.