GameStop has announced that Jim Bell will resign from the post of chief financial officer on March 26. As per the SEC filings, Bell will receive a sizeable severance bonus of around USD 30 million. Bell signed the contract with GameStop in 2019. The contract allows him a severance bonus of double the total amount of his annual salary along with a bonus opportunity. The company is now searching for someone to fill the post. “We are looking for someone with the capabilities to help accelerate transformation at GameStop,” the company said while hinting that it will shift focus from physical to online retail.
The announcement comes almost a month after GameStop witnessed a massive spike in its stock because of the Reddit page WallStreetBets. The stock gained nearly 1,915 percent and went up to over USD 347. But it soon fell down to USD 45. This is a big dip but still better than where it started the year. This led to widespread publicity of GameStop with everyone from the White House to people like Elon Musk talking about the company.
When asked to comment on the departure of Bell, GameStop spokesperson simply said that they are not going to any further details about the announcement at the moment. The company in a release said that Bell became CFO of the company when it was in a ‘tough place.’ It was suffering from falling sales and around 200 stores were close. The COVID-19 pandemic made things worst. The company had to announce the closure of around 400 to 450 stores globally by end of 2020. This was at least 100 more than what the company had predicted more than a year ago. “Thank you, Bell for your leadership and all the significant contributions over the past year.” The company said that it if couldn’t find a permanent CFO before Bell’s resignation, it could appoint Chief Accounting Officer Diana Jajeh as interim CFO.