March 8 Barnes & Noble Inc said on
Friday it entered into an employment agreement with Chief
Executive William Lynch to continue in his post for another two
years, according to a filing.
The largest U.S. bookstore chain said Lynch will receive the
same compensation and benefits as before, but get an additional
cash bonus of $1.8 million for his role in attracting
investments from Microsoft Corp and Pearson PLC
in forming Nook Media LLC, according to the filing with
the U.S. Securities and Exchange Commission.
The agreement provides Barnes & Noble with the right to
assign Lynch as chief executive of Nook, the company's e-reader
and tablet business, if the company is separated.
Lynch would receive a cash retention bonus of $1.5 million
in that case.
The company said in February that its Chairman Leonard
Riggio planned to make an offer for the main bookstore business,
but not its Nook and e-book business and its college bookstores.
Barnes & Noble said it would evaluate the sale of its retail
Barnes & Noble Inc reported a quarterly net loss in
February, due to a sharp decline in sales in its Nook device and
e-books business, as well as lower sales at its bookstores and
college bookstore chain.