Best Buy's new top executive, Hubert Joly, tells the Star Tribune that he's "not a big fan of shrinking the company." He wants the Richfield-based electronics giant to maximize sales with its existing stores. One analyst was also a bit puzzled by Joly's comments about "showrooming." "I don't think he's right. I think there's plenty of evidence of people doing that," said Laura Kennedy.
Best Buy and its founder Richard Schulze continue to spar over Schulze's attempt to take the struggling Richfield-based electronics retailer private. The Star Tribune reports Schulze, Best Buy's largest shareholder with a 20% stake, rejected a proposal from the company's board of directors over the weekend. Best Buy says it offered to show Schulze the company's financial data in exchange for delaying any takeover attempt until 2013, should the board reject his bid.
David Einhorn, who leads New York-based Greenlight Capital Inc., has sold off his firm's 7.7 million shares, or 2.27 percent stake, in the Richfield-based electronics retailer. The Star Tribune reports Greenlight's losses could approach $100 million. Analysts tell the newspaper Einhorn's decision to exit could help former Best Buy chairman and founder Richard Schulze, who is exploring options for his 20 percent stake in the company, including an effort to take the company private.
Longtime independent compensation expert, Don Delves, is no longer working with Best Buy's compensation committee. Bloomberg reports Delves quit after the Richfield electronics giant awarded more than 100 managers extra pay without linking it to performance -- a decision he opposed. According to an email statement, Best Buy said the incentive pay is "intended to ensure leadership continuity."
Best Buy is holding its annual shareholders meeting Thursday. The beleaguered Richfield-based electronics giant has had plenty of boardroom drama over the past three months, including the abrupt departure of company founder and largest shareholder Richard Schulze. After months of uncertainty, investors are eager to learn what's next for the world's largest consumer electronics retailer.
Founder Richard Schulze is stepping down from the board of directors sooner than planned in order to explore options for his 20.1 percent ownership stake. Last month, Schulze announced he would resign on June 21 at the company's annual meeting. An investigation found he knew that former CEO Brian Dunn was having an inappropriate relationship with a female employee. Schulze, the founder and outgoing chairman, has been with the Richfield-based electronics giant since its debut in 1966 and is the company's largest shareholder.
The Richfield-based consumer electronics giant hopes to hire Brian Dunn's replacement within the next nine months. Dunn resigned in April amid an internal probe that later found he had an inappropriate relationship with a female employee. Best Buy also disclosed interim CEO Mike Mikan's compensation package. He is considered a candidate to permanently replace Dunn.
Even though Richard Schulze is stepping down, he remains the retail giant's dominant shareholder controlling more than 20 percent of Best Buy stock, according to the Star Tribune. Schulze announced he's resigning as chairman and board director from the Minnesota-based company after an internal investigation found he didn't disclose former CEO Brian Dunn's inappropriate relationship with an employee.
After a series of bombshells that have shaken the company, Best Buy's interim CEO is trying to reassure employees that the electronics retail giant will rebound and rise again. "This has undoubtedly been the most difficult period in Best Buy's history," G. Mike Mikan said in a video message to employees Tuesday, the Pioneer Press reports.
Best Buy founder and Minnesota native Richard Schulze has announced he is stepping down as chairman after the release of an investigation into the conduct of former CEO Brian Dunn. The investigation showed that Schulze knew about about Dunn's close personal relationship with a female employee and failed to report it to the board.
The Richfield-based electronics chain is looking into whether top company leaders failed to report information to the board of directors, according to the Star Tribune. Brian Dunn resigned abruptly last month amid an internal investigation. He's accused of personal misconduct with company resources.
CFO Dave Deno is the second top executive to announce his departure this week from the troubled Richfield-based electronics retailer. CMO Barry Judge resigned Wednesday. CEO Brian Dunn stepped down last month amid an investigation into his personal conduct and Geek Squad founder and CTO Robert Stephens left in March.
Barry Judge is the third executive to depart the Richfield-based electronics retailer this year. Former Starbucks executive Stephen Gillett is expected to take over his role. The Pioneer Press reports the resignation is not related to former CEO Brian Dunn, who stepped down in April amid an internal investigation. Geek Squad founder Robert Stephens also left Best Buy in March.
Four board members will lead the global search for a new chief executive officer at the Richfield-based electronics retailer. Brian Dunn resigned from the leadership position amid an investigation into his personal conduct. Interim CEO Mike Mikan is considered a candidate to permanently replace Dunn. Best Buy expects the search process to take six to nine months.
The Star Tribune reports Best Buy is investigating allegations Brian Dunn used company resources to carry out an inappropriate relationship. A company spokesperson tells the newspaper "the investigation is ongoing" despite Dunn stepping down from his leadership position Tuesday.
Best Buy's board of directors says its investigation into Brian Dunn's personal conduct remains open even though Dunn stepped down as CEO this week. The company says the conduct it's looking into does not involve Best Buy operations or finances, but has offered no other details.
A spokeswoman for Best Buy says a committee was investigating Brian Dunn's personal conduct when the CEO chose to resign. She says the issues that led to the investigation were not related to Best Buy's operations or finances. The company described Dunn's departure as a "mutual agreement that it was time for new leadership."
The retailer has hired Stephen Gillett to lead its digital and global business services. The 36-year-old was chief information officer for the coffee chain. Best Buy CEO Brian Dunn says Gillett will play a key role in e-commerce.