By the chairman of Barnes & Noble Inc. What seems like a lateral move to those of us who aren’t billionaires, current chairman Leonard Riggio will offer cash for all B&N stores in the country. As Reuters reports, the deal will split the stores from the Nook they’re sitting in. Sales of the company’s e-reader are struggling against the monolithic Kindle. The amount Riggio will pay has not been disclosed but it’s just walking around money to him if he’s willing to pay cash. Especially as he’ll also be absorbing some of the company’s debt.
Question is – why is he backing the brick-and-mortar work horse and not the digital revolution? Is a restructuring in the future or liquidation? (I’m not an economist, so I would like to know.) Hit the link for the Reuters story.