Circuit City CEO Resigns

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Consumer-electronics retailer Circuit City said CEO Phillip Schoonover agreed to step down and has been replaced by James Marcum, a company director since June.

Schoonover (left), who had battled with dissident shareholder Mark Wattles over whether the company should be sold, also stepped down as chairman. Allen B. King, a director, was elected chairman to replace him.

"A change in leadership at the chief executive officer level is always a difficult decision, and Circuit City appreciates Phil's efforts over the past four years," King said in a release.

Schoonover became CEO in 2006 and pitched cable companies on possible partnerships at the CTAM Summit last July.

Since Schoonover became CEO, Fortune.com noted, Circuit City’s stock price has lost 90% of its value, closing at $1.70 in New York Stock Exchange trading Monday.

Circuit City hired Goldman, Sachs & Co. to explore options after Blockbuster made an unsolicited $1 billion offer for the retailer, a bid it later withdrew, citing market conditions.

Marcum and two other directors joined Circuit City’s board in June in an effort to defuse the proxy battle waged by Wattles.

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