Barnes and Noble 2013 Annual Report Download - page 66

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entity that owns QVC and HSN (Liberty Interactive).
Liberty Media was split-off (the Split-Off) from Liberty
Interactive on September 28, 2011. No products were sold
to the third parties from August 18, 2011, the date of the
investment through the date of the Split-Off. The Company
also purchased Halloween costumes from BuySeasons Inc.
(BuySeasons), a subsidiary of Liberty Interactive. Total pur-
chases from BuySeasons following the date of the Liberty
investment and prior to the date of the Split-Off were
$33. On July 19, 2011, the Company renewed a one-year
contract with Commerce Technologies, Inc. (Commerce
Hub), a subsidiary of Liberty Interactive, who provides
services to help facilitate and integrate sales with drop-
ship vendors. Total fees paid to Commerce Hub following
the date of the Liberty investment and prior to the date of
the Split-Off were $22. The Company purchases textbooks
from AI2, Inc. (AI2), a subsidiary of Liberty Interactive.
There were no purchases from AI2 following the date of the
Liberty investment and prior to the date of the Split-Off.
The Company paid commissions to Liberty Interactive
Advertising (LIA), a subsidiary of Liberty Interactive, who
serves as the exclusive premium advertising sales agency
for the Company. Total commissions paid to LIA following
the date of the Liberty investment and prior to the date of
the Split-Off were $5.
22. DIVIDENDS
The Company paid a dividend to preferred shareholders in
the amount of $15,767 and $7,081 in fiscal 2013 and fiscal
2012, respectively.
The Company paid no dividends to common stockhold-
ers during fiscal 2013 and 2012. During fiscal 2011, the
Company paid a dividend of $0.25 per share on June 30,
2010 to stockholders of record at the close of business on
June 11, 2010, on September 30, 2010 to stockholders of
record at the close of business on September 9, 2010 and
on December 31, 2010 to stockholders of record at the close
of business on December 10, 2010. On February 22, 2011,
the Company announced that its Board of Directors was
suspending its quarterly dividend payment of $0.25 per
share. This provided the Company the financial flexibility
to continue investing into its high growth digital strategies.
23. SUBSEQUENT EVENTS (UNAUDITED)
On July 8, 2013, the Company announced that William J.
Lynch, Jr.resigned from the Company’s Board of Directors,
effective immediately. On July 8, 2013, the Company also
announced that Mr. Lynch has resigned as Chief Executive
Officer of the Company, effective immediately. In connec-
tion with his termination of employment on July 8, 2013,
Mr. Lynch received, cash severance of $3,650 and full
vesting in respect of 275,846 restricted stock units granted
by the Company to Mr. Lynch, which had an aggregate value
of $4,871 based on the closing price of the Company’s com-
mon stock on July 8, 2013 of $17.66.
Additionally, on July 8, 2013, the Company announced the
promotion of Chief Financial Officer Michael P. Huseby to
Chief Executive Officer of NOOK Media LLC and President
of the Company; Vice President, Corporate Controller Allen
W. Lindstrom to Chief Financial Officer of the Company;
and Vice President, Corporate Development Kanuj
Malhotra to Chief Financial Officer of NOOK Media LLC.
64 Barnes & Noble, Inc. NOTES TO CONSOLIDATED FINANCIAL STATEMENTS continued