In a news confirmed by a GameStop filing, as reported by Axios, Reggie Fils-Aime will retire from the game retailer. He, together with seven other members of the board, will likely retire at the company’s annual meeting this coming June.
Reggie is among the most beloved leaders of the gaming industry. He is known for helping push Nintendo beyond the brink of bankruptcy. After moving away from Nintendo, he came into GameStop’s board to help staunch the bleeding.
GameStop, meme stocks aside, is slowly failing and dying as a company. While their store sales went up by 6.5% for the 2020 fiscal year, their net sales were down. The company has a net loss of $138.8 million, with a net sales decline of 21.1%.
So far, it seems the exodus of the board of directors will affect their stock value. The company has been quite fickle the past few months. It doesn’t help that Reddit is giving a false and unbalanced sense of security for potential investors too.
Recently, GameStop shares fell by 33% to around $120 on Wednesday. The fall comes from a relative loss of confidence on the stocks and the retail issues during the pandemic.
Reggie Fils-Aime is not the only big name that will leave the board. Former Activision publishing president Kathy Vrabeck will also be leaving the board. Others include former Walmart CEO William Simon and PetSmart president James Symancyk.
“Turnover among our Board may disrupt our operations, our strategic focus or our ability to drive stockholder value,” said the filing. “If we fail to attract and retain new skilled personnel for our Board, our business and growth prospects could disrupt our operations and have a material adverse effect on our operations and business.”
Back in 2019, Fils-Aime left his position as president of Nintendo of America. He held the position for 15 years, starting as VP of sales in 2006. By April last year, he joined the GameStop board, looking to help keep the company afloat.
The gaming industry needs a healthy and vibrant @GameStop. I look forward to being a part of @GameStopCorp Board and helping to make this happen,” he said on Twitter in 2019.
It is currently unknown what Reggie Fils-Aime plans for the future. More information will likely come out in the next few months.
Featured image courtesy of Nintendo/Youtube Screenshot
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