Hewlett-Packard is citing Autonomy in an $8.8 billion write-down and accusing the company it purchased of “accounting improprieties.”
These are very painful figures for H-P. All the follow-up are talking about fraud-like allegations where Autonomy made their valuation look a bit more higher than it really was. Oracle, for example, took a pass on Autonomy because they found it too expensive, but H-P took the bite. Was Deloitte at stake here? Did they bad auditing at the time of sell?
Who knows? But in the mean time H-P is taking a big hit. Interesting to follow how they will survive this dip.