UK Retailer GAME Sees Profits Fall, Execs Depart

Execs at recently-challenged UK-based specialty retailer Game Group will leave their positions following a 28 percent annual profit drop. Company CEO Lisa Morgan and COO Terry Scicluna have resigned. The company said Wednesday that both will be replaced by interim leaders. Game Group saw profits of £84.2 million ($129.6 million) for the year ended March 2010, down from £117.4 million ($180.7 million). Sales fell 10 percent to £1.772 billion ($2.7 billion). Claiming it faced tough market conditions in the year ahead, the retailer recently cut 247 jobs across 43 of its stores, of which it currently has a total of 677. Game also plans to close 100 stores, with the aim of having 550 by Christmas 2013. "The Group has delivered the second best trading performance in its history... Our results were delivered against the backdrop of a very difficult trading environment, which saw the global PC and video games market decline by over 20 percent," says the company's chairman, Peter Lewis. "We outperformed the market and our performance can be attributed to our position as the market leading specialist, our strength in preowned, our multi-channel customer offer and disciplined operational management."