The ratings on Palo Alto, Calif.-based Hewlett-Packard Co. (HP) reflect Standard&Poor's Ratings Services' expectation that the company will maintain its "strong" business profile and "modest" financial profile despite ongoing technology risk, highly competitive market conditions, and a recent escalation in acquisitive growth strategies. We do not believe that Mark Hurd's unexpected departure and the ongoing CEO search currently has an effect on the rating. The company's strong business profile is based on its leadership position in computing and imaging solutions and services, with fiscal 2009 revenues of $114.6 billion. Recent acquisition activity bolsters its range of solutions to the enterprise market and, in the case of Palm Inc., augments its consumer portfolio. Consolidated segment operating margins have continued
