Authors: Jeanette Torres
(MINNEAPOLIS) -- After being out-maneuvered by Internet rivals with lower operating costs, Best Buy has fallen on hard times. Now, the big retailer says its CEO Brian Dunn has resigned and will step down from the board.
“There were no disagreements between Mr. Dunn and the company on any matter relating to operations, financial controls, policies or procedures,” Best Buy said in a statement Tuesday from its corporate headquarters in Minneapolis. “There was mutual agreement that it was time for new leadership to address the challenges that face the company."
The company said board director G. Mike Mikan will serve as the interim CEO while its looks for a permanent replacement.
Last month, Best Buy announced it would close 50 big box stores this year and test much smaller stores in several cities.
The company has suffered from a double whammy.
Many of the products it sells -- cameras, video game consoles, CDs and DVDs -- have been the victims of technological change as consumers shift buying habits and game playing to the Internet.
Best Buy is also part of the broader decline in big box retailing. Circuit City and Borders went out of business, while Barnes and Noble stores have also suffered from falling revenues.
Copyright 2012 ABC News Radio