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Circuit City CEO Resigns

Consumer-electronics retailer Circuit City said CEO Phillip Schoonover agreed to step down and has been replaced by James Marcum, a company director since June.

Schoonover (left), who had battled with dissident shareholder Mark Wattles over whether the company should be sold, also stepped down as chairman. Allen B. King, a director, was elected chairman to replace him.

"A change in leadership at the chief executive officer level is always a difficult decision, and Circuit City appreciates Phil's efforts over the past four years," King said in a release.

Schoonover became CEO in 2006 and pitched cable companies on possible partnerships at the CTAM Summit last July.

Since Schoonover became CEO, noted, Circuit City’s stock price has lost 90% of its value, closing at $1.70 in New York Stock Exchange trading Monday.

Circuit City hired Goldman, Sachs & Co. to explore options after Blockbuster made an unsolicited $1 billion offer for the retailer, a bid it later withdrew, citing market conditions.

Marcum and two other directors joined Circuit City’s board in June in an effort to defuse the proxy battle waged by Wattles.