HP Spending $4 Billion In Stock Repurchase

Number two computer maker Hewlett-Packard (HP) said on Thursday their board of directors authorized the repurchase of $4 billion for repurchases of its outstanding shares of common stock.

According to their press release, HP intends to offset dilution from the shares issued under employee benefit programs. They can also use this to buy up some stock from the shareholders as a means of returning cash to them.

HP picked up $2.1 billion in shares in the last three fiscal quarters and about $800 million left in the authorization from September of 2004.

John Stith is a staff writer for WebProNews covering technology and business.