October 26, 2006 11:42 AM PDT

Hewlett-Packard loses services chief

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Hewlett-Packard is searching for another high-level executive after the departure of its services chief this week.

Steve Smith, senior vice president and general manager of HP Services, resigned on Wednesday for "personal reasons," said Emily Neumann, a company spokeswoman. Smith had led HP Services since July of 2005 and had been with the company since January of that year.

Neumann declined to comment on whether Smith's resignation was related to the company's boardroom scandal, which has seen the departure of several high-profile HP executives, including General Counsel Ann Baskins.

Ann Livermore, head of HP's technology solutions group, will serve as acting head of HP Services until a replacement can be found, Neumann said. Services revenue only increased by 1 percent in HP's third fiscal quarter compared with last year, although profit increased by more than 40 percent.

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