Best Buy CEO Brian Dunn calls it quits

(AP) MINNEAPOLIS - Best Buy Co. (BBY) CEO Brian Dunn has resigned from the electronics retailer.

Best Buy said Tuesday that it was a mutual decision, and that there were no disagreements with Dunn on any matter relating to operations, financial controls, policies or procedures. Its stock gained 52 cents, or 2.3 percent, to $23.17 in morning trading.

The announcement comes a little less than two weeks after Best Buy unveiled a restructuring plan. The chain plans to close 50 of its U.S. big-box stores, open 100 small-format stores and cut $800 million in costs over the next five years.

Best Buy announces loss, store closings

Best Buy, whose sales have been stung by competition from online sellers like Amazon.com, is trying to become nimbler to avoid the fate of former rival Circuit City, which filed for bankruptcy protection in 2008. Traditional electronics retailers are suffering as more people buy gadgets online or at discount stores.

And last week Credit ratings agency Standard & Poor's put its corporate credit rating and other ratings on Best Buy on watch for a possible downgrade, saying at the time that the company's restructuring plan "underscores the problems that Best Buy is having with its current business model."

Board member Mike Mikan will serve as interim CEO while the company searches for a permanent replacement. Best Buy said that it has already created a search committee for identifying and choosing its new CEO.

Richard Schulze will continue as chairman.

Comments

Market Data

Watch CBSN Live

Watch CBS News anytime, anywhere with the new 24/7 digital news network. Stream CBSN live or on demand for FREE on your TV, computer, tablet, or smartphone.

Watch Now

Market News

Stock Watchlist

New Android App

For your Android phone and tablet, download the FREE redesigned app, featuring CBSN, live 24/7 news.

Download
The all new
CBS News App for Android® for iPad® for iPhone®
Fully redesigned. Featuring CBSN, 24/7 live news. Get the App