HP to pay $32.5M to settle Postal Service dispute
NEW YORK (AP) — Hewlett-Packard Co. has agreed to pay $32.5 million to settle allegations it overcharged the U.S. Postal Service for products over more than eight years.
In the dispute, the United States alleged that HP failed to comply with pricing terms of its contract with the Postal Service. It also alleged the company misrepresented its pricing during contract negotiations and its plans to ensure it would bill at the required most-favored-customer rate.
The overcharging allegedly occurred between October 2001 and December 2010.
The Justice Department said Friday that the claims resolved by the settlement are allegations only. There's been no determination of liability.
HP is based in Palo Alto, California. Its stock fell 45 cents to $35.16 in morning trading.