Game Over, Schoonover
by John Paczkowski
Posted on September 22, 2008 at 3:39 PM PT
Quite a legacy Philip Schoonover built over at Circuit City, eh? He announces his resignation as chairman and CEO and, bang, the company’s stock spikes almost 10 percent in extended trading. Seems leaving Circuit City was the best thing Schoonover has done for the struggling consumer electronics retailer since he accepted the CEO gig in 2006.
He’ll be replaced by board member James Marcum, who’s been brought in to clean up after Schoonover and his two years of losses. “Circuit City has a long history of being a leader in the consumer electronics industry,” said Marcum. “It is my mission to direct that energy towards improving our operations and strengthening our market position in order to accelerate our turnaround and deliver improved results for all of our key stakeholders.”
That shouldn’t be too hard. After all, there’s nowhere to go but up, really. Circuit City (CC) shares lost more than 90 percent of their value on Schoonover’s watch.
Comments
If you lose money for two years in the world of electronics, then things will probably get worse in a sluggish economy.
Posted by Ken Okel at September 22nd, 2008 at 4:06 pmthis guy has to be wondering why he ever left Best Buy…
so, ATD, what kind of a severance package did he get from CC after this stellar performance?
Posted by Graeme Thickins at September 22nd, 2008 at 4:46 pmPhil was handed an opportunity to fail and he had the balls to try it. Circuit City was a mess long before Phil got there and it is only a few short months from Chapter 11. Then Sears [another loser] can scoop it up, get rid of 300 poor performing stores and then get busy running it all into the ground. Remember who told you first.
Posted by Tony Walker at September 22nd, 2008 at 6:08 pm