On Feb. 7, 2007, Standard&Poor's Ratings Services raised its corporate credit rating on Palo Alto, Calif.-based Hewlett-Packard Co. (HP) to 'A' from 'A-'. The upgrade reflects improved profitability across HP's major business segments and a diminished earnings reliance on its printing and imaging segment. At the same time, Standard&Poor's affirmed its 'A-1' short term rating on HP. The outlook is stable. The ratings reflect HP's satisfactory business profile and minimal financial risk. These factors are partially offset by the significant level of operational execution risk inherent in the rapidly evolving technology market, as well as highly competitive industry conditions, which are likely to constrain additional profitability improvements. HP is a leading global vendor of computing and
