Barnes & Noble Inc. just hired one of Cablevision Systems Corp's previous executives as their own CFO. The executive, named Michael Huseby, has experience in turning businesses into more profitable venues and Barnes & Noble hopes that he will aid the company after it went south not too long ago.
Yes, the advent of Amazon's Kindle and several other new advancements in technology have turned Barnes & Noble to yesterday's business. Even after the company released the Nook, it was just too late, as people were already going nuts about the Kindle. Barnes & Noble remained with the image of a company that sold hard copies of books. As they became less popular, the company's seen its share of drops in stock price.
Huseby, the new 57-year-old CFO, will be replacing the interim CFO, Allen Lindstrom, who had been attempting to keep the company running for the last 6 months. Previous CFO Joseph Lombardi already said he is leaving the company after 9 years of poor business, but said he would stay in the company at least to smooth out the transition. Huseby was the EVP and CFO for Cablevision from 2004 to 2011. Before taking that post, he was CFO at Charter Communications (News - Alert), a cable company as well.
As of right now, Barnes & Noble has witnessed its own demise as the company's net income at Q3 2011 dipped 14 percent Q2, and rising operating costs helped contribute to the fall in revenue. Barnes & Noble currently owns 691 public bookstores and 641 campus (college) bookstores. It also runs its own website: BN.Com. As far as shares are concerned, B&N's share price dipped another 4 cents to $13.35 this morning.
Here's to hoping that Huseby can turn that all around and make Barnes & Noble a worthy competitor of Amazon. It's going to take a lot more than a new CFO to bring the company back on its feet, though. The day of printed copy is ending, and everyone's going digital with the advent of affordable tablets.
Edited by Jennifer Russell