GameStop Announces Chief Executive Officer Succession Plan

Rhea-AI Summary

GameStop Corp. (NYSE: GME) announces that CEO George Sherman will resign on July 31, 2021, or earlier upon finding a successor. The Board expresses gratitude for Sherman's contributions since April 2019, citing his efforts in stabilizing the company during challenging times, including the COVID-19 pandemic. GameStop's Board has engaged a third-party firm to assist in the search for a new CEO, aiming to find a leader capable of driving the company's transformation amidst changing business needs.

Positive

• Sherman acknowledged stabilizing efforts during his tenure.
• GameStop is focusing on finding a capable leader for its transformation.

Negative

• Leadership transition may create uncertainty among investors.

GRAPEVINE, Texas, April 19, 2021 (GLOBE NEWSWIRE) -- GameStop Corp. (NYSE: GME) (“GameStop” or the “Company”) today announced that George Sherman will be stepping down as Chief Executive Officer on July 31, 2021, or earlier upon the appointment of a successor. The Board of Directors (the “Board”) thanks Mr. Sherman for his significant contributions since being appointed Chief Executive Officer in April 2019.   

As disclosed in GameStop’s Annual Report on Form 10-K filed with the Securities and Exchange Commission on March 23, 2021, the Board has been evaluating executive leadership to ensure the Company has the right skills to meet changing business requirements. The Company’s Form 10-K also noted that the Board has retained a third-party firm to support its efforts. The Board’s Strategic Planning and Capital Allocation Committee is leading a search to identify Chief Executive Officer candidates with the capabilities and experience to help accelerate the next phase of the Company’s transformation.

Ryan Cohen, incoming Chairman of the Board, commented, “GameStop appreciates the valuable leadership that George has provided throughout his tenure. He took many decisive steps to stabilize the business during challenging times. The Company is much stronger today than when he joined. On a personal note, I also want to thank George for forming important partnerships with the new directors and executives who have joined GameStop in recent months.”

George Sherman, Chief Executive Officer, added, “I am very proud of what we have accomplished at GameStop over the past two years, including during the difficult COVID-19 pandemic. It has been a privilege to lead so many dedicated, talented individuals, who collectively possess tremendous passion for the gaming industry. We have helped bring stability and strength to the business, including by de-densifying our store footprint, reducing costs and debt, and driving e-commerce growth. I also want to take this opportunity to thank our Board for all of its collaboration and support.”

About GameStop.

GameStop, a Fortune 500 company headquartered in Grapevine, Texas, is a leading specialty retailer offering games and entertainment products through its E-Commerce properties and thousands of stores. Visit www.GameStop.com to explore our products and offerings. Follow @GameStop and @GameStopCorp on Twitter and find us on Facebook at www.facebook.com/GameStop.

Cautionary Statement Regarding Forward-Looking Statements - Safe Harbor

This press release contains “forward looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements generally  include statements that are predictive in nature and depend upon or refer to future events or conditions, and include words such as “believes,” “plans,” “anticipates,” “projects,” “estimates,” “expects,” “intends,” “strategy,” “future,” “opportunity,” “may,” “will,” “should,” “could,” “potential,” or similar expressions. Statements that are not historical facts are forward-looking statements. Forward-looking statements are based on current beliefs and assumptions that are subject to risks and uncertainties. Forward-looking statements speak only as of the date they are made, and the Company undertakes no obligation to update any of them publicly in light of new information or future events. Actual results could differ materially from those contained in any forward-looking statement as a result of various factors. More information, including potential risk factors, that could affect the Company’s business and financial results are included in the Company’s filings with the SEC including, but not limited to, the Company’s Annual Report on Form 10-K for the fiscal year ended January 30, 2021, filed with the SEC on March 23, 2021.  All such filings are available at www.sec.gov and on the Company’s website at www.GameStop.com.

Contact

GameStop Investor Relations
817-424-2001
investorrelations@gamestop.com

GameStop Public Relations
Joey Mooring
joeymooring@gamestop.com

or

Profile
Greg Marose / Charlotte Kiaie
gamestop@profileadvisors.com

 

FAQ

What is the news about GameStop's CEO George Sherman?

GameStop announced that CEO George Sherman will step down on July 31, 2021, or earlier if a successor is appointed.

When did George Sherman start as GameStop's CEO?

George Sherman was appointed CEO of GameStop in April 2019.

What is GameStop doing to find a new CEO?

GameStop's Board has retained a third-party firm to assist in the search for a new CEO.

How has George Sherman's leadership impacted GameStop?

During his tenure, Sherman stabilized the business, especially during the COVID-19 pandemic.

What can investors expect from GameStop's leadership transition?

Investors may face uncertainty during GameStop's search for a new CEO, which could impact the company's direction.