stock has traded in the two weeks since mark hurd's surprise exit as c.e.o. was announced. pulling out to a 12-month chart, this selling has taken shares to a new 52-week low today. the company tried to re-assure investors during its earnings report last night, saying there are no issues with its top customers despite hurd's departure. other tech standouts today include semiconductor company marvell technology. shares were up 8%. earnings were better than expected. it also announced a big stock buyback plan, helping out shares. business software maker salesforce.com followed through with the after-hours action we reported last night. strong earnings and an outlook had shares hit a new high. and akamai tech hit a new high. it's the latest to be the focus of buyout rumors. volume was three times normal. bad loans are not only a problem for banks. for-profit education company corinthian continues wrestling with them. earnings were a penny less than anticipated, even as enrollment grew. but its outlook was less than expected. the company says student loan default rates for 2009

shy sa she said i have resolved my problems and do not wish to comment further and wish mark hurd and the family the best. she was reportedly paid up to $5,000 for each event she was hired to put together for the silicon valley company. part of her job was to greet people and make introductions among executives. fisher is a single mom focused on raising her young son. in addition to appearing in small films and commercials, allred said she has worked in sales for a fortune 500 company and served as vice president of a resident real estate. hurd is credit id with turning hp around, doubling its value after his five years as ceo. it will be interesting to see what happens tomorrow with hp stock. kimberly, nbc. >>> there's been talk of the hp curse, one departure after another as they were forced to adjust to new leaders. hurd was seen as stability after forcing out his predecessor, carly fiorina. hurd became chairman of the board after patricia dunn left following and investigation into board room leaks to the media. now the tech giant again finds itself in the same spot, looking for a

hewlett-packard ceo mark hurd has resigned, but the scandal involving him deepens. also, the second part of my conversation with u.s. senator barbara boxer. conversation with u.s. senator barbara boxer. coming up next. captioning by vitac, underwritten by fireman's fund >>> good evening. i'm belva davis. welcome to "this week in northern california." joining me on our news panel, benjamin pimentel, technology reporter with "marketwatch" on leadership at hewlett-packard. josh richman, legal and political affairs reporter for the "oakland tribune," on the outcome of tuesday's special election in the 15th senate district. and starting with stu woo, reporter for the "wall street journal." stu, in addition to a court win by the governor on the issue of furloughs, there was also word now from the state controller that he's thinking that the state has reached a point where it must issue ious. now, what is this going to do to california in the financial markets in the view of this state? >> right. it feels like deja vu. we went lu tthrough the same th last year. the reason

the powerful man at the top of hewlett-packard, the chairman and ceo, mark hurd is out. and a part-time b-movie actress is in. 50-year-old actress fisher also worked as a reality tv star and in hp event planning and greeting. she stepped into the spotlight to say she was sorry that he lost his job over the claim that the boss sexually harassed her. but both of them say the relationship was not intimate, causing many to wonder. >> there is always two stories and the real story. >> reporter: mark hurd was found not to have violated hp's sexual harassment policy, but he was accused of other fraud. >> the stock prices took a big hit today. so billions in the capitol of the company, that could come back. in terms of the public perception, it shows a company in crisis and turmoil. >> reporter: the scandal so far caused hb 9000000 in value. others don't expect the losses to last. >> if you were a great ceo, a good job of cost cutting, hewlett-packard is a great company, lots of great people, great products. so i am not worried about hewlett-packard long-term. >> reporter: neith

mark hurd is resigning effectively immediately. he is leaving after a sexual harassment allegation regarding an outside contract worker. h.p. says hurd filed expense reports that broke the company's business conduct standards. cathie lesjack will step in as interim c.e.o. and h.p. released preliminary third quarter results, and jeff will have more on that in tonight's "market focus." meanwhile, there is a job opening at the white house. the president's top economic advisory is leaving to focus on her family. cyschristina nomar says she plans to return to teaching economics at the university california, berkeley. and she says he wants her 14-year-old son to spend his high school days in one place. >> jeff: late today the white house says the president will renominate peter diamond to the federal reserve board. the senate sent diamond's original nomination back to the white house. >> susie: as you said, jeff, it was a volatile day in the stock market, and also a lot of action in the bond market. >> jeff: that's true. all eyes are beg

mark hurd's departure is bringing up talk of the hp curse. the company has been forced to adjust to new leaders. hurd was seen as many as a figure of stability bringing the company back to life at the boards for aed out carly fiorina. hurd became chairman of the board after patricia dunn left. now the tech giant again finds itself in the same spot looking for a new chief executive and chairman hoping to reassure investors their next pick will break that sglurscurse. >>> a shooting on a busy bay area freeway this weekend appears to be a case of road rage that happened on 680 in san jose. according to the chp, the driver of a white chevy trailblazer opened fire on a silver dodge durango hitting the suv four times. a passenger riding in the back seat was shot once in the back. the man is said to be in his mid 20s and was rushed to the hospital where he is expected to survive. police say it started on city streets and then moved to the freeway. >> from what i was told, they stopped at a stop light. one person had his music really loud. they were

she met mark hurd earlier and she said that she and hurd did not have an affair. mark hurd resigned after authorities investigated the sexual harassment complaint. they say there was nothing to support that complaint but they did find instances where hurd submitted false expense reports. they say there was one occasion where fisher was paid for work where there was no official work assistance. >>> we're checking in on hp's stock this morning. it's down almost 7%, 3.15 to 42.85. at last ground -- the stock lost ground on friday, after ceo, mark hurd, announced his resignation. hewlett-packard -- analysts say the allegations could further hurt company in the company. >>> 7:1. if you still -- 7:18. if you still hold your cell phone while you drive, there is a warning for you. a crackdown is planned for tomorrow to catch you. the chp says those drivers are responsible for the highest number of crashes caused by those drivers not paying attention. there's a couple of possibilities. are they calling asleep? are they possibly under the influence of alcohol and drugs? as

. >> reporter: the woman whose sexual harassment claim led to mark hurd's downfall said she never intended for him to lose his job. >> pleasure to meet you. >> great to meet you. >> reporter: jodie fisher, a 50-year-old actress who appear in the reality show "age of love" said she was surprised and saddened hurd stepped down friday. lawyers for fisher reportedly contacted hp in june alleging sexual harassment by hurd. the tech giant's board found the former ceo falsified expenses to hide numerous dinners with fisher. fisher said in a statement through her attorney that she and the former ceo did not have an affair or intimate sexual relationship. she also said "i resolved my claim with mark privately. without litigation. and i do not intend to comment on it further. i wish mark, his family and hp the best." fisher claims she knew hurd through her work with hp's marketing department. she was reportedly paid up to $5,000 for each event she was hired to put together for the silicon valley company. part of her job was to greet people and make introductions among executives. according to allred

there's no word yet on who will replace mark hurd going forward. speaking of resignations, the apple executive in charge of the iphone has quit after several stumbles with the iphone 4. mark papermaster was with apple for 15 months. reports say he had a falling out with ceo steve jobs and had not been a part of the decisionmaking process for a while. a lot going on there. >> always. thank you. >>> bob redell is in search of the best places to go camping in the bay area. >> sit's a nice change for bob who is used to sleeping next to an alarm clock all night long. >> reporter: i'm so tired of that alarm clock. time to say good-bye. and hello mother nature. now these are the sounds i can wake up to. you can wake up to by coming here, right next to the beautiful pacific ocean, north of highway 1 in marin county. what we think is the bay's best place to go camping. this is steve ravine campground. not sure why it's called that. ahh! i'm okay. you know when you go to some campgrounds, you think it's something out of the blair witch project. >> guys! guys

mark hurd, the savior who righted carly fiorina's wrongs, wrs shown the door after a sexual harassment investigation. the company found no harassment, but fudged expense records suggest the accuser was being paid to keep silent. scott budman has more on the stunning develops of one of the valley's most strait-laced pioneers. >> reporter: when mark hurd took over hewlett-packard was reeling. the hp way replaced by layoffs and a struggling stock price. hurd changed all that. settling the company and pleasing investors. until he suddenly stepped down amid allegations that he had a personal relationship with a contractor who received money from hp that was not business-related. >> it's very vague, but no matter what it was deemed inappropriate. and that is what caused him to have to step down. >> reporter: tim baharan follows hp. he says hurd's actions are especially troublesome for hp shareholders who revered the man who gave the company new life. >> he came over from ncr, put an amazing amount of discipline and order and stability to the company. we organized it around the three groups.

ever existed between the two and that she was, quote, surprised and saddened that mark hurd lost his job over this. >>> keep an eye on hp today. friday after the bell, shares fell almost 10%. >>> elsewhere, traders will be waiting for word from federal reserve policy makers after their tuesday meeting on how to help stimulate the sputtering economy. speculation is they may buy bonds. >>> in asia this morning, oil began climbing back from friday's losses in reaction to disappointing unemployment figures after falling $1.31 a barrel on friday, oil has climbed back to just over $81 a barrel. >>> and finally, a new zealand man who knew he gambled too much bans himself from a casino. unfortunately, he went back anyway and won $44,000 playing poker. the casino, as requested by the man himself, refused to pay him the jackpot. talk about unlucky. >>> well, tiger whimpers. the phillies roar. and jeter passes the babe. >>> plus, a blue jays hurler shuts down the rays almost. your early morning sports headlines are straight ahead. >>> the big weather story this week looks just like the other we

mark hurd had been an unbelievably successful ceo. he managed to get hp past its previous scandal five years ago and past the bad memory of carly fiorina and the idea that they had been spying on other companies and he was really by all accounts a very successful ceo. >> reporter: chief financial officer kathy lesjak will be taking over as interim ceo until a permanent replacement can be found. as for mr. hurd, he will be walking away with a severance package reported to be in the 40 to $50 million range n palo alto, len ramirez, cbs 5. >>> just about every bay area public transportation agency faces major budget deficits. but the city of oakland has a new bus service. and it's free. sherry hu looked into where they came up with the money for that when the city is actually broke. >> reporter: allen, everyone loves free. but i have to tell you first, you can hear the music. people are dancing. this party is in full swing tonight here at jack london square and folks are getting here any way they can. they are coming by car, by bike and

hewlett-packard ex-ceo mark hurd falsified expense reports to conceal his relationship with a female contractor, jody fisher. the company claims hurd paid her for work she didn't do. a source says hurd settled before he resigned. the settlement did not include a payment from hp. fisher said she did not have sex with hurd. >>> tuesday marks the one-year anniversary in the disappearance of a 6-year-old from oakland. a missing person's group is holding a series of events to generate publicity about the case. kcbs's tim ryan shows us what they are doing today to bring him home and others who are missing. >>> reporter: he has been missing for a full year now. oakland investigators felt from the beginning that he was murdered. investigators feel that he was killed by his foster parents, louis roth and jennifer campbell. they were briefly arrested on suspicion of murder. sherry miller, who really lead the search weekend after weekend after weekend always believed the parents or tried to. but now things have changed. >> i would love to see somebody walk through these doors with him in their

. >>> hewlett-packard xceo mark hurd falsified expense reports to conceal his relationship with a female contractor, jody fisher. the company claims hurd paid her for work she didn't do. a source says hurd settled before he resigned. the settlement did not include a payment from hp. fisher said she did not have sex with hurd. >>> tuesday marks the one-year anniversary in the disappearance of a 6-year-old from oakland. a missing person's group is holding a series of events to generate publicity about the case. tim ryan shows us what they are doing today to bring him home and others who are missing. >> reporter: he has been missing for a full year now. oakland investigators felt from the beginning that he was murdered. investigators feel that he was killed by his foster parents, louis roth and jennifer campbell. sherry miller, who really lead the search weekend after weekend after weekend always believed the parents or tried to. but now things have changed. >> i would love to see somebody walk through these doors with him in their arms. do i think that's probable? no. until we have his bod

when mark hurd took over as ceo, they were reeling by a struggling stock price. hurd changed that, settling the company and pleasing investors until he suddenly stepped down amid allegations that he had a personal relationship with a contractor who received money from hp that was not business related. >> it's very vague, but no matter what, it was deemed inappropriate. that caused him to have to step down. >> he said hurd's actions are troublesome for hp shareholders who revered the man who gave the company new life. >> he came over from ncr, put amazing amount of discipline and order and stability to the company. reorganized it around the three groups, gave them their autonomy to actually grow. fundamentally turned them around. >> reporter: hp was quick to name 24-year-old veteran cathie lesjak as interim ceo while they launch a search for hurd's replacement. hurd releasing a statement saying, "as the investigation progressed, i realized there were instances which i did not live up to the standards and principles of trust, respect and int integrity ies a poused.

: business aside, mark hurd is married with two kids. he would not speak on camera for this story. neither would jodie fisher. meanwhile, matt, we should mention hp's stock dropped 9% since this scandal broke. >> jeff rossen, thanks very much. dan abrams is nbc's chief legal analyst. donny deutsch is the chairman of the ad agency deutsch incorporated. we don't exactly know what happened at hp. probably only a handful of people do know. the both of you are pretty sure there's more to this than meets the eye, correct? >> there's no question. the notion that this is a guy who is about to re-sign for an enormous amount of money is getting fired or being forced to resign over fudged expense reports just can't be the case. there has to be more here and it's got to relate to either them having wanted him out, although that's an unlikely reason -- >> he was a darling of the company. he doubled the stock price in five years. >> if he was that much of a darling, that tells us even more. that tells us it has to be that bad for it to have happened.

hp's board of directors being sued by a massachusetts pension board over its handling over ceo mark hurd said they shouldn't have kept it private in their investigation into mark hurd's activity and then they should not have paid him tens of millions of dollars in severance for simply being fired. and you have oracle suing google over its build-up of android based off using java technology. oracle acquired java when it bought sun microsystems. and it's now suing google over patent infringement in that case. >> jason, thank you very much. jason brooks with kcbs and cbsmoneywatch.com thank you. >>> 6:4. san joaquin county asking neighbors to pitch in after losing employees to layoffs. the city of ripon recruiting volunteers to help with odd jobs. there is a long list of chores to choose from since ripon laid off half the park maintenance staff. some of the tasks include painting over graffiti and pulling weeds. the city is planning to post a list of volunteer projects online to help drum up support. >>> a new survey by a consumer group indicates that 48% of all bottled water sold in the u.

the "wall street journal" ran an article this morning quoting mark hurd, former ceo of hp, again denying an intimate relationship with a woman who is not his wife. cnbc says the search for a new ceo is actively under way. this is the second time hp had to replace its ceo quickly. carly fiorina was let go, and shortly thereafter they got themselves involved in a spying scandal where there were congressional hearings, charges, they h it has been a long string of bad news for hp. >> and mark hurd was supposed to be the boy scout -- >> he drove the price up enormously. there were lawsuits over firing him. hp reports its numbers after the close of the markets today. >>> a big egg recall gets even bigger. a live report ist enme back. >>> that incredible inedible egg. the nationwide recall of eggs is getting a lot bigger this morning. bob redell has tips on keeping your family safe. good morning. >> reporter: good morning to you. if you are going to your favorite diner, you want to ask the chef there like people have been asking paul hillsted at mini gourmet. the questions have been coming up a

. >>> we are learning more details on what led to the resignation of former hewlett packard mark hurd. jody fisher claimed that her contract with hewlett packard slowed after she denied his sexual advances. h p found no evidence that he orred the slowdown of the contracts. but he resigned after h p found him guilty offalsifying some records. >>> by the number of shell casings, several shots were fired near a mall. a woman was shot. no word on her condition or if anyone has been arrested. >>> a marin county resident could face severe penalties for allegedly cutting several eucalyptus trees. the resident whose name has been released could be charged with vandalism and cutting of the trees. a neighbor called sheriff deputies after hearing that investigators are looking for someone was cutting trees without permit. the tax cost go up because the fews have that just improved after the cut. >>> some american idol are pack at at&t park for american idol tryouts. the scene is much different from yesterday when thousands of people lined up early in the morning to sign up for the tryouts and re

none of it surprising as the company told us what to expect a couple weeks ago when mark hurd left in order to reassure investors. >> okay. here is a weird one for you. the iphone 4 or the iphone 3gs? if you check craigslist or ebay you will find out the iphone 3 is pricier. why? folks in foreign countries want iphones, ones without contracts, americans can sell their old iphones for less than the cost of a new iphone 4 because they get the price cut from at&t. it turns out everybody is happy. >> and the unlock ed phones, somebody can buy it and unlock it, but the unlocked phones are even more expensive. >> exactly. >> thank you very much. >>> this morning, illinois governor rod blagojevich is speaking out for the first time since his trial in an exclusive interview with the "today" show. a jury found blagojevich guilty of just one of 24 counts. he was cleared of the most explosive charge, selling president obama's vacant senate seat. this morning blagojevich tells meredith vieira he's ready to go on trial again to clear his name. >> i'm determined to continue to seek vindication, ful

s bos, mark hurd. and the nasdaq powered lower by the cisco disappointment. the s&p 500 fell almost 4%. all three of the major indices now in the red for the year. the telecommunications are key costumers for cisco. and telecom stocks have been a bright stock for investors this week, and since the third quarter began. the telecom services sector was the only of the 10 sectors to ink out a small gain. so far this quarter, telecom is the best performing sector, too. up more than 10%. after spending the week worrying about the economy and digesting earnings, several merger announcements hit the tape on this friday. first comes from the world of private equity. blackstone group has a deal to buy energy company dinagy for $542 million. and they will assume dinagy's debt, and as part of the deal, blackstone will get $1.4 million back. so here is how the three players fared. dinahgy, clearly a big winner. closing price above blackstone's offer. and the market things a better price may be coming. blackstone was weaker by 3%, and n.r.g. slid 2%. big blue was in the ma

. >> mark hurd was a successful ceo. got hp past the previous scandal and the bad memory that they were spying on other companies. >> evidence shows that hurd did not break the policy but did violate the standard of business conduct. his severance package will be 40 to $50 million. >>> san francisco is cracking down on laws that have not been enforced in 50 years. couldn't come at a worse time for some. we don't that have type of money. we're barely keeping the doors open. we cannot afford $1,347 worth of fees to the city. >> reporter: he runs cole valley antiques. she got this letter announces she didn't have a permit to run her shop. >> any business that operates within the city or county limits. we have a list of businesses and we're starting with alphabetical order. antiques are now being focused on. >> we've never heard of this permit before. we did everything we needed to go to open the shop. we were given a list that tells us what we need to do. >> take this, and application. wayne sanders is to a list too. a for

none of it surprising as the company told us what to expect a couple weeks ago when mark hurd left in order to reassure investors. >>> which one is more expensive? the iphone 4 or the iphone 3gs? if you check craigslist or ebay t is the iphone 3. why? folks in foreign countries want iphones, ones without contracts, americans can sell their old iphones for less than the cost of a new iphone 4 because they get the price cut from at&t. everybody is nice and happy. >> thank you, scott. >>> a mosquito spraying under way in parts of contra costa county it is scheduled to take place at nights and until 6:30 this morning depending on the weather. >>> it is 5:07 now. today bicyclist also rally outside a san francisco arco station to protest its ties to bp. today's rally marks the 11th straight week that the activists gathered at the station. this is video from a similar rally back in june. the mta painted bike lanes in the area green, but protesters say the paint job has little to curb conflict for cars lining up for gas and bicyclists riding by. >>> a major change for your commute into san fr

s decision to fire ceo mark hurd. hurd was forced out because of falsified defense reports following dinner with a contract employee. ellison calls it cowardly and the worst personnel decision since apple fire steve jobs 25 years ago. hurd is a friend of ellison and oracle does business with h. p. shares of h. p. tumbled more than 8% yesterday. >> san francisco with a detailed plan to bring the americans cup sailing race to the area. larry ellison's racing team won the cup in february and has the right to name the location and date for the next race. the san francisco examiner reports city officials held a neighborhood meeting last night at the south beach yacht club. they're proposing to dock the racing yachts at pier 50 near at&t park. the village will be located further north at piers 30 and 32 but investors will be needed to shore up the property currently used at parking lots. >> maybe ellison could be one of the investors >> you know we have more drizzle this morning, clouds. but things looking up in some places

mark hurd and kimberly is here with the latest. >> reporter: diane, we're hearing from the first time from 50-year-old jodi fisher who accused a high profile executive with a charge like this. she says despite her accusations, she didn't intend for him to lose his job at huelett packard. and gloria allred agreed that she and the former ceo did not have a sexual relationship. she also says quote, i have resolved my claim with mark privately without litigation and i do not intend to comment further. i wish mark his family and hp the best. fisher claims she 23450u her through jobs with hp's marketing department and earned up to $5,000 per event. she was hired to perform hp events. she's a single mother and she has also worked in sales for a fortune 500 company. they find he had not violated the policy but he had

hurd earlier this month. >>> stocks fell today and the dow lost 39 points. the nasdaq finished down by 20. a finger is all it takes for a member to get into a 24 hour fitness center. the company is using fingerprint scanners at 60 locations and to ensure they enter a ten digit code and have their index fingers scanned. it compares the image to the one the company has on file and allows members to leave their id cards at home and keeps unmembers from speaking in. >>> top financial officials told lawmakers that will delay paying until the state has enough money to pay bondholders. the state comptroller treasurer and finance director says the 90 day deferral would start next month and california's budget is now 54 days late for the governor and lawmakers are taught how to fill $19 million by the shortfall. >>> a federal judge suspended the guidelines that expended embryonic stem cell research. the judge ruled those guidelines violate a law that bans the use of federal funds to destroy human embryo is. the impact is unclear but the head of one transportation pro

fisher said she was surised and saddened that mark hurd los his job over this, adding that was never her intention. >> alan: the bodies of ten volunteers,ncluding six americans, were flown back to kabul. the medical missionaries were kied thursday in a taliban ambush on their way back from treating afghans in the ontar -- northeast part of the country. we have this report. >> they gathered at the first presbyterian church in w york to mournnd honor the man who spent the last 36 years in afghanista helping the sick and injured. >> we're traumatized by these events. we're going through a whole gamut emotions. >> reporter: dr. tom little what an optometrist worng with the international assistance miion in kabul. he and his team members were returng from an eye clinic when they came under attack. his widow is preparing to good to afghanistan for his funeral. >> he gave his life. the best year of his life. to bring medical care to afghan people. anhe will be buried in the christian cemetery right there in kabul. >> reporter: the bullet riddled bodi of dr. little and nine otr members of th

. >>> billionaire oracle ceo larry ellison is blasting hewlett-packard's decision to oust mark hurd. in an e-mail to the "new york times" he blasted hp's board for revealing a sexual harassment allegation against mark hurd even though it's own investigation determined the claim was unfounded. he called the move the worst personal decision since the idiots on the apple board fired steve jobs many years ago. this morning hp stock price will have to bounce back from an 8% drop yesterday. hp announced hurd's resignation friday after that alleged sexual harassment investigation turned up irregularities in his expense account. >>> now may be a good time for you to look into refinancing your mortgage if you can. mortgage rates are the lowest on record, down to 4.3 on a 30-year fixed. below 4 on a 15-year loan. it's the kind of rate many thought would encourage home shoppers to buy now, however homeowners may want to revisit refinancing even if the current rate is not much higher than the new one. >> 5 1/4 is worth looking at. if you're up in the high 5s, 6, 7, it's almost a no-brainer that

in a statement released through allred, fisher said she was surprised and saddened that mark hurd lost this job, saying, quote, it was never my intention. >> carolyn: we're learning more about the ten christian aid workers who were lined up and shot to death by the taliban last week in afghanistan. they were returning home after delivering tooghtsz brushes and eye glasses to a remote afghan village. the first of the victims was remembered today in new york. >> we're traumatized by these events. we're going through a whole gamut of emotions. >> reporter: hundreds of people gathered at this church to mourn the death of dr. tom littlement his wife said he had made helping sick and injured people in afghanistan his life's work. >> a privilege to be able to stay and help people at the time of they're their greatest need. >> reporter: three more american victims were identified. sheryl cheryl beckett. and dr. thomas grahams. and glen lap was a rog federal conclude registered nurse from pennsylvania. hillary rodham clinton called their deaths a tess pick -- tess pickable act of violence. >> t

. >>> it was a tough day on wall street for hewlett-packard after mark hurd's resignation after he lied expense reports. it h-p's stock dropped $3.30 closing at $0.4,262 and this is close to their 62 week low. many investors are hoping this will signal a willingness to take new steps to stimulate the economy. the dow gained 45 points and the nasdaq rose 17. >>> the internet phone service company skype is based in luxembourg and in a regulatory filing skype says it attracted 600 million registered users and generated $400 million in net revenues so far this year. some high-tech analysts say skype's ipo could be the biggest since google came out in 2004. >>> bryson and goebbels said internet service providers should not be allowed to charge users. the fcc is trying to decide whether net natality should cover all dandelions and wireless. the basic premise is that all internet users -- covered land lines and wireless and the basic premise is that all internet users should be treated the same. >>> a study was done with kaiser permanente in san francisco and found that 25% of african-american

mark hurd resigned on friday. the company's board discovered he falsified expense reports to cover up the dinners he had with fisher. hurd and fisher claim they never had an affair but he settled with fisher for an undisclosed amount of money. fisher said she was surprised and saddened that mark hurd lost his job over this adding that was never her intention. >> right now investors are getting their first chance to react to the resignation of h. p. ceo. >> bloomberg reporter jane king joins us live from the new york stock exchange with more how they're reacting and what it means for h. p. stock. jane? >> hi. good morning. the shares are taking a hit this morning. really the first time investors getting a chance to react. starting late friday you can see h. p. down more than $3. hurd's addressing reporters and analysts three times. h. p. in the meantime forecasting slower growth for the quarter than for the previous three and the ceo search will make things more complicated. talking about possible replacements. can

he called it cowardly, political correctness on the part of hp's board to do so with mark hurd. hp's shares fell 8% yesterday. shareholders obviously very nervous about what that means for the company. but several large customers of hp told the wall street journal that they plan to stick with hp as long as its business model stays true to what it's doing now. stock market heading south quickly on a number of different factors. productivity in the 2nd quarter dropped almost 1% when it was expected to rise. that will have an immediate short-term impact on earnings reports for companies but it could be a signal that hiring could resume at some point in the future. companies simply have squeezed as much out of their employees as they can. they need more help there. also, chinese imports slowed down. that could hurt growth in that country in the global economy as well. the dow is lower by 126. nasdaq down by 37. s&p off by 14. hp shares treating even. the federal reserve meets today. investors typically cautious ahead of an announcement coming from the fed. also saudi arabia says it'

. >>> also new information on the sexual harassment investigation of hewlett-packard's ceo mark hurd. what the accuser is now claiming. >>> also, we are going to show you what happened during an airshow in argentina. this plane doing well until -- we aren't going to show you -- well, we just did. yeah. okay, we got to let you know. pilot not hurt. >> oh, good. >> okay. >> so let's hope nothing like that happens on the commute. [ laughter ] >> i mean, not until air but on the ground. >> well, we have roadwork to talk about, nothing quite that exciting but yeah, eastbound highway 4 unusual roadwork on a new stretch here through pittsburg and bay point. bay point to railroad avenue eastbound slowing on the traffic sensors a couple of minutes ago but it looks like it's gone. it's gone but we'll watch it eastbound on 4. near the coliseum no issues, what would you expect to see this time of the morning, quiet towards downtown oakland. no meters lightning on the bay bridge toll plaza for an hour and a half so traffic is moving fine. they picked up the roadwork on the upper deck. that is your

. >> hewlett-packard tumbled after mark hurd's sudden forced resignation last week. he stepped down o friday after acquisitions that he falsified expense reports to cover up a relationship wit a former contractor. that woman 51-year-old jody fisher earned $5,000 per event to greet people at h. p. even and she's also an actress. this is video from fisher's acting cliff reel that's posted on youtube.com. she had a ief stint on the nbc reality show age of love and also appeared on a anymore steamy low-budget movies. hurd and fisher claimed they never hadn affair. >> the eths committee announced charges against congresswoman maxine waters. she faces three counts of ethics violations. she's accused of requesting and getting federal help for a bank called one united bank. the ethics violatns were raised because her husband owns stock in the bank and once served on its board. the bank got $12 million in bailout money. waters denied any wrongdoing and repeatedly asked the committee to dismiss the charges unsuccessfully. her trial is expected to happen this fall. >> tomorrow

. >> new information about the recent resignation of hp chief mark hurd. they say the resignation came before they were able to fully investigate the sexual harassment claims that led to it. a source familiar with the board saying the sentiment between hurd and the jeod si fisher was reached without the board's knowledge. >>> supporters of former bart police officer johannes mehserle are demanding that he be released from prison. 20 people showed their support for mehserle. a jury found him guilty last month of involuntary manslaughter in the shooting death of an unarmed passenger oscar grant. he faces five to 14 years in prison. supporters say he should never have been put on trial. >> i don't think he should spend a day in jail. i think the only fair sentencing would be to release him today. >> a small group of counter protestors showed up briefly. >>> vallejo police are turning to the public help to track down two murder suspects. he and his girlfriend are wanted in the murder of a person who was found dead in his car last weekend. one is considered to

. >>> hewlett-packard was the biggest drag on the dow tumbling 8% after chief executive mark hurd's resignation late friday. shares had already dropped 10% in after-hours trade friday night. >>> research in motion boosted the nasdaq up 3.5% on news the company was working out blackberry concerns with saudi arabia. >>> elsewhere, mortgage giant freddie mac needs another $1.8 billion in taxpayer aid, bringing its government bailout total over two years to more than $64 billion. >>> honda is recalling some 400,000 accords and civics to address ignition switch problems. >>> chrysler cut losses in the second quarter and says it's firmly on the road to profitability and a successful public stock offering. >>> and, finally, despite being the most expensive, an annual travel poll ranks london's taxis the best in the world. new york's yellow taxis tied with paris for the rudest. and cabbies in rome were voted the worst drivers in the world. >>> well, coming up, walk-off homers, grand slam homers, even birthday homers. >> plus, the mariners may be having a season to forget, but last night they pulled off

>> investors don't like uncertainty so in the wake of mark hurd's recession nation many sold their share. the future quickly becoming a lot less center and they're looking for a replacement at the top. the stock price dropped close to 8% today. even though hp is a giant, the overall maerkt smarket shrugged it off. you can soon own a piece of skype, the internet voice and video caller. spun off from ebay skype is back to being independent and the company hopes to raise $100 million before going public. >>> jobs are extra hard to come by. coming up tonight at 6:30, the challenges they face and the start-up that wants to give them a helping hand. here in silicon valley a premium is placed on youth but that's gotten some panes in trouble before and we have advice to help both sides later tonight at 6:00. >> thanks a lot, scott. >>> state attorney general jerry brown is ordering a financial investigation of a small southern california town with famously bloated salaries. he's subpoenaed tax, salary and other records for nine former and current officials in the city of belle. they must give de

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hurd and at one point shares of the palo alto based company were down 8% and at last check, they're down 7%. hurd left under pressure friday after settling a sexual harassment claim against him. the woman who filed it says she never intended for her to lose his job. and 50-year-old jodi fisher is an actress who posted this demo reel on youtube. fisher says she is surprised and saddened that hurd lost his job. and she also denies she had sex with him. >>> a livermore woman accused of having sex with two teenaged boys will face even more charges. police say christine hubbs also allowed some 10-year-old boys to shot pellet guns from her car while she drove them around town and she will be charged with contributing to the delinquency of a minor in that case. but hubbs faces 67 felony counts, for allegedly having long-term sexual relations with the teenaged boys. she is due in a courtroom in pleasanton in a little more than an hour from now. >>> we could soon find out if same-sex marriages will resume here in california. when he ruled against prop 8 last week, federal judge vaughn walker

mark hurd. the stock had more than doubled during hurd's five years at the company, and now investors are questioning what his unexpected departure will mean for h.p. joining us now with his thoughts on that topic: michael holt, senior analyst at morningstar. michael, welcome. >> thanks for having me. >> so let's start there. what do you think it's going to mean for hp stock, his depar ture. >> well, certainly it spooked investors off the bat. but the bottom line is the fundamentals are strong and solid for the company. and the strategy that herb put in place are still there and will survive his depar ture. >> do you see this as a buying opportunity, the flip that we've seen or the hit that the stock has taken? >> definitely. the short term turmoil will blow over. our fair value estimates remains at $55. this looks like a nice opportunity to get in on a high quality name. >> so what about likely candidates to replace him who have you heard who have do you think will be a good fit? >> there has b

. >> suzanne: a week after mark hurd's sudden resignation from h.p., the company's board of directors is being sued. filed on behalf of a massachusetts retirement fund that owns shares of h.p., the lawsuit includes hurd and interim c.e.o. catherine lesjak. the suit claims h.p.'s board had a duty to tell shareholders hurd was part of a sexual harassment investigation. no comment tonight from h.p. or hurd. >> tom: "make my trip" made a big arrival today on wall street, posting the best first- day gain for an initial public offering in almost three years. the indian online travel company soared nearly 90% in its debut on the nasdaq. market watchers think "make my trip" was a hot ticket because there are so few u.s. listed firms focused on india's growing online market. >> suzanne: many college and high school students find internships are a good way to get real work experience. it's estimated half of all college grads have been interns, often for no pay. but, as anna olson reports, the government is now telling employers to think twice about using unpaid interns. >> reporter: felix river