Coming up with the dough…

Earlier today, Hewlett-Packard(HPQ) announced that it plans to “streamline” its operations and cut up to 15,000 jobs in the process. Today’s announcement makes the rich deal they signed with incoming executive Randall Mott — which the company disclosed late Friday in an 8-K — all the more interesting.

Under the deal, Mott, who had been chief information officer at Dell (DELL) since 2000 will get a $2.2 million signing bonus “in order to replace benefits that Mr. Mott is forfeiting by leaving his current employment.” That’s in addition to a whole host of other goodies, including 285,000 shares of restricted stock that vest 20% a year, a $7 million targeted long-term performance bonus for 2005-2008, a guaranteed bonus of nearly $700K for 2005, even though he’s only working half of the year, and a $1 million relocation allowance. Who knew it was that expensive to move from Austin to Palo Alto? Perhaps Mott can get a good deal on Michael Winkler’s house, now that he’s leaving the company.

But because Mott wasn’t high enough on Dell’s totem pole to be included in the proxy, it’s not entirely clear what exactly he’s giving up. One clue comes from a form 4 that Mott filed late last month that shows him with 204,950 unvested options. Of course, before finalizing the deal with HPQ, the filings show that Mott sold about 160,000 shares of Dell for nearly $2 million.