BUZZ-Barnes & Noble: Worst day in 8 months after sacking its CEO

Wed Aug 17, 2016 10:39am EDT
 
Email This Article |
Share This Article
  • Facebook
  • LinkedIn
  • Twitter
| Print This Article
[-] Text [+]

** Barnes & Noble shares plunge after sacking its CEO after less than a year on the job

** BKS second worst S&P 1500 index performer. Drops as much as 13.5 pct, on track for biggest one-day pct fall since Dec

** Co said on Tuesday its board decided Ronald Boire was not a "good fit"; Executive Chairman and founder Leonard Riggio to postpone retirement and assume Boire's duties, along with other executives

** Bookstore chain's sales have been falling for the past two years due to rising competition from Amazon.com Inc

** Barnes & Noble said it would continue to work on strategic initiatives, which includes winding down its Nook business and expanding its product catalog

** Said new CEO search to start immediately to replace Boire, who joined from Sears Canada in Sept 2015

** Over 900,000 shares have exchanged hands in first hour, 1.6x their avg 30-day volumes

** BKS last down 10 pct to $12.04. Today's decline cuts stock's YTD gains to 38 pct