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Best Buy CEO Brian Dunn Resigns

Best Buy CEO Brian Dunn steps down after nearly three years at the helm. Best Buy says it was a mutual decision.


Best Buy CEO Brian Dunn

Best Buy CEO Brian Dunn

Best Buy CEO Brian Dunn has resigned, the big-box retailer announced. Best Buy says the decision was a mutual agreement and there were no disagreements with Dunn about operations, financial controls, policies or procedures.

G. Mike Mikan, a Best Buy director since April 2008, has been named interim CEO while a search for a new CEO is underway.

“I have enjoyed every one of my 28 years with this company, and I leave it today in position for a strong future," said Dunn, who was named CEO in June of 2009. "I am proud of my fellow employees and I wish them the best."

Related: 10 Failed Electronics Retailers

The announcement comes less than two weeks after Best Buy announced a restructuring plan following a $1.7 billion loss for its fiscal fourth quarter. Best Buy said it will close 50 of its big-box stores in the United States and lay off 400 employees to help cut $800 million in costs by fiscal 2015.

Following that announcement, a "mini-tender" offer was made by TRC Capital to purchase 1.7% of Best Buy stock for 4.1% less than the market value of the shares. Best Buy yesterday urged shareholders to reject the offer.

Best Buy founder Richard Schulze will keep his role as chairman.

Shares were up 3.1 percent this morning on heavy volume after the news, according to the Wall Street Journal. However, the stock is now dropping dramatically.




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Article Topics

News · Best Buy · Big-box Retailers · All topics

About the Author

Steve Crowe, Web Editor
Steve is an editor for cepro.com. He graduated from Emerson College with a B.A. in Journalism. He joined the CE Pro staff in 2008. Steve is also a freelance sports writer for The Boston Globe and other various publications.

21 Comments (displayed in order by date/time)

Posted by Audio Plus - Dan C  on  04/10  at  09:46 AM

Not too surprising, you can’t continue being a showroom for .com sales companies and stay in business. You can’t sell TV’s for 20% under cost on black Friday and expect to profit. I actually feel bad for a retailer that owned 58% of consumer CE sales market just 5 years ago. Manufacturer’s can thank themselves for this and supporting .com sales policies if they haven’t already gone direct. Guess the next thing will be a private offer for GEEK squad?

Posted by paul  on  04/10  at  10:19 AM

I wonder what kind of separation package Dunn got? Then I wonder what kind of separation package the 400 employees will get.

Posted by redstorm_  on  04/10  at  10:25 AM

Best Buy prices stink and the customer service is non-existent in most of their departments at least in the stores we used to visit.  Frankly, I can find the same stuff online, have it shipped from Amazon (usually free) and get it much cheaper with even easier and hassle-free return policies.  Just like Circuit shitty, Best Buy is following the same path…

Posted by Dan  on  04/10  at  10:56 AM

Used to work at best buy.  Got treated like dirt, provided no training, managers were out only for themselves.  I for one will be dancing on their graves when they go under.

Posted by John Nemesh  on  04/10  at  01:32 PM

They stated many times that they were going to change their format, and focus on solution selling…but after countless “announcements” and press releases, they still have the same huge stores, and the same business models in place.  Their installation department is the joke of the entire industry, and they still rely on heavy foot traffic, driven by sales of shiny 5 1/4” discs…someone forgot to tell them that people dont go to stores to buy media any more!

This is a typical pattern…I worked for Ultimate Electronics, and later, Good Guys…these companies were unable to differentiate themselves as well…and look what happened.  Honestly, I am surprised it is taking as long as it is for them to go under!  I also believe that not a single customer of theirs will mourn their passing.  Good riddance Best Buy, may your slow death pave the way for someone better!

Posted by Greg  on  04/10  at  02:25 PM

The worst of the worst.  It took me two days and four trips to get them to honor the geek squad protection plan I have paid for for a year and a half.  A bunch of snot nosed kids with no clue what service means.  Geeks, dweebs and no sense of customer first. I would say they deserve what they get!  I would never go back.

Posted by Jon  on  04/10  at  02:29 PM

Used to work at Media Play (after they were purchased, then sold, by Best Buy).  Got treated like dirt, provided no training, managers were out only for themselves.  I for one will be dancing on their graves when they go under.

Posted by Chad  on  04/10  at  02:34 PM

What about the boards’ personal conduct investigation that caused him to resign?

Posted by Justin  on  04/10  at  03:00 PM

I recently went in to return a$ 15 dollar galaxy tab case that was purchased for me as a gift. I already had a case. I was 2 days after the 30 day return policy window (due to it being a gift and given with most of that time gone). No leniency was given, and the store claimed there was absolutely no way to override the system.

So they kept the $15 in revenue, and I threw away the crappy case. However, they have lost any and all future revenue from me. I will not shop at a store that is stepping over dollars to save dimes with their return policy.

Good riddance.

Posted by Dan C - Audio Plus  on  04/10  at  03:16 PM

I’d like to make 1 more comment, yes inevitable, yes, glad to see them go away. It’s up to us custom A/V & networking integrators to pick up the slack they will leave. Don’t think many of us have or want a showroom, I pray that Google TV doesn’t wind up axing all of us. So, with 24 years experience in consulting, installation, manufacturing, sales, representation, repairs, etc . . . how do we, as integrator’s, network together to provide our clients assistance on products that they purchase direct from a manufacturer’s.com company? It’s an open opportunity for all of us.
cheese

Posted by John  on  04/10  at  03:55 PM

Anyone else notice that “Dan” and “Jon” use the exact same words?  Got treated like dirt, provided no training, managers were out only for themselves.  I for one will be dancing on their graves when they go under.

Posted by paul  on  04/10  at  04:50 PM

Yeah. I did. Twins maybe?

Posted by Marvin  on  04/10  at  09:09 PM

Same situation for me, Justin.  Family members got mixed up and I got two of the same bluray movie.  I went to Best Buy without the receipt (it was a gift) but with the disc unopened still in its original packaging with its price sticker.  They said if it was a gift, they’d need the phone # of the person who purchased it.  For some reason, no matter what number I gave them, they found no match, so they wouldn’t let me return it. 

In the meanwhile, I had a wedding out of state to go to, and I did.  A week later after I had came back, I asked the person who gave me the gift for their receipt, they found it, the I went back to the store.  Now I’ve got the receipt and the unopened disc, but over the course of that week, the warranty period had passed by 2 or 3 days.  They claimed there was no way to override anything to force a return and I was stuck with it.  I decided to accept it, but I also decided I’d find alternatives to BB whenever it wasn’t too inconvenient.

Posted by Elmo  on  04/11  at  05:46 AM

Used to work at best buy.  Got treated like gold, provided loads of training, managers were all for the team.  I for one will be mourning on their graves when they go under.

Seriously I hope they are still in my area in the long haul because this and the hardware store are the only dude stores around.  We will be stuck going to Crate and Barrel with the wives.

Posted by AMS Audio Video  on  04/11  at  06:18 AM

If Best Buy goes away, who will help promote technology to consumers? It will be CI’s like ourselves, which means more competition for us.

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