Barnes & Noble Reveals New Details for CEO Firing

Barnes & Noble has disclosed new details on its firing of CEO Demos Parneros in July after 16 months on the job.

The nationwide bookseller (and home entertainment retailer) in an Oct. 30 legal filing (Parneros v Barnes & Noble, 18-cv-7834, U.S. District Court, Southern District of New York), outlined further details of alleged sexual harassment by Parneros against a female employee, in addition to breach of fiduciary duty after allegedly scuttling a possible sale of the fiscally-challenged company.

Parneros, who maintains his innocence, sued Barnes & Noble in August for wrongful termination and payment of severance, claiming he was abruptly dismissed by the chain’s founder Leonard Riggio for no reason.

Barnes & Noble, in the filing, claims Parneros acted inappropriately with the female staffer he had called into his office, including pinching her neck after comparing heights.

“She also reported that just a few days after this incident, Parneros again called her into his office, inappropriately showed her pictures of what he considered to be romantic Quebec City hotels, told her that he ‘would have taken’ her to those hotels if he were her husband, pulled her towards him so that their faces touched cheek-to-cheek and, as she attempted to pull away, angrily told her that he thought she seemed like someone who ‘would put out’ if he ‘wined and dined’ her,” according to the complaint.

Barnes & Noble says it has received additional complaints about Perneros from other female employees.

In addition, the company alleged the former CEO made repeated negative comments about Barnes & Noble to an unnamed potential buyer, including questioning “Why did I come here?” to the buyer’s representative.

Parneros denies he tried to quash the transaction.

“These false allegations are nothing more than an effort to tarnish my reputation and punish me for seeking justice,” Parneros said in an email statement to Bloomberg.

Barnes & Noble in September reported a first-quarter (ended July 28) net loss of $17 million, up 70% from a net loss of $10.7 million during the previous-year period. Revenue dropped 7% to $794 million from $853 million last year.

The bookseller’s Nook business, which includes digital media such as TV shows and movies, narrowed its operating loss to $330,000 from an operating loss of $2.7 million last year. Revenue dropped 14% to $25.2 million from $29.5 million last year.

 

 

 

Netflix Releases Teaser Video Clip for ‘House of Cards’ Final Season

Netflix Sept. 5 released a brief trailer (19 seconds) for the pending (Nov. 2) final season of “House of Cards” that is noteworthy for what it reveals happened to lead character President Frank Underwood, played by disgraced actor Kevin Spacey.

Frank’s wife, Claire, played by Robin Wright, assumes her husband’s role in the new season.

The critically-acclaimed Netflix original series was turned upside down when allegations of inappropriate sexual behavior by Spacey decades ago and on the “Cards” set surfaced. Netflix shut down production of the show and subsequently fired Spacey.

CBS Says It Will Investigate Sexual Misconduct Claims Against CEO Les Moonves

The board of directors at CBS Corp. July 27 said it will investigate claims of sexual misconduct by longtime CEO Les Moonves disclosed in an expose by Ronan Farrow in The New Yorker.

Farrow’s article  alleges Moonves engaged in unwanted touching and kissing of female subordinates over the past 20 years.

Read Ronan Farrow’s article in The New Yorker here.

“All allegations of personal misconduct are to be taken seriously,” the board said in a statement. “The independent directors of CBS have committed to investigating claims that violate the company’s clear policies in that regard.”

The board noted the timing of the expose coinciding with CBS’ ongoing legal battle with corporate parent National Amusements, headed by Shari Redstone and her ailing father Sumner Redstone.

“While that litigation process continues, the CBS management [which includes Moonves] has the full support of the independent board members,” said the statement.

Farrow won a Pulitzer Prize for another expose that outed Harvey Weinstein’s long history of sexual harassment. The story led to Hollywood’s #MeToo movement, and subsequent criminal indictments against Weinstein.

The Weinstein Co. Files for Bankruptcy Protection

As expected, The Weinstein Co. has filed for bankruptcy protection in Delaware – five months after allegations of improper sexual behavior by co-founder and co-chairman Harvey Weinstein derailed the venerable studio/distributor.

TWC reportedly is set to sell its assets to Dallas-based investor group Lantern Capital Partners.

“Under the agreement, Lantern will purchase substantially all of the assets of [TWC], subject to certain conditions, including approval of the bankruptcy court,” TWC said in a statement reported by NPR. “The [TWC board] selected Lantern in part due to Lantern’s commitment to maintain the assets and employees as a going concern.”

Notable to the deal: removal of non-disclosure agreements allegedly used by Harvey Weinstein to silence his female accusers.

“The company expressly releases any confidentiality provision to the extent it has prevented individuals who suffered or witnessed any form of sexual misconduct by Harvey Weinstein from telling their stories,” read the statement.

Earlier this month, an investor group led by former Small Business Administration head (under President Obama) Maria Contreras-Sweet and investor Ron Burkle, had agreed to pay $500 million for the TWC, which included assumption of $225 million in debt.

That deal fell apart reportedly after additional liabilities totaling more than $60 million were discovered.