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News Shorts Staff -- 11/20/00 Bolotin Named Editor-in-Chief at Workman \| Sales Slip, Loss Widens At Books-A-Million Book Group Sales and Earnings Rise at B&N \| New Additions to Random Audio AAP Decries Postal Increase \| Strowbridge Named President of Dover Bolotin Named Editor-in-Chief at WorkmanSusan Bolotin has joined Workman Publishing as editor-in-chief, succeeding Sally Kovalchick, who died unexpectedly this summer (News, July 24). Bolotin, who will report to Workman president Peter Workman, has been in publishing for 25 years, serving in editorial roles at both magazine and book publishers. Bolotin began her career at Random House before moving to Simon & Schuster, where she was editor-in-chief of Touchstone Books. After leaving S&S, Bolotin worked at several different magazines and most recently served as executive editor at Good Housekeeping. Workman said that Bolotin "brings an unusual breadth and depth of experience to Workman. She is smart and energetic with good publishing instincts. We look forward to her fresh perspective on developing new ideas and making wonderful books." --Staff Sales Slip, Loss Widens At Books-A-MillionWith sales off in its nonbook category, revenues at Books-A-Million fell 1.1%, to $90.1 million, in the third quarter ended October 28, 2000. The net loss in the period was $1.6 million, compared to $924,000 in the same quarter in fiscal 2000. Comparable store sales were off 6.8%. BAM chairman Clyde Anderson attributed the declines to a "significant" decrease in the chain's collectors category through which the company sells a wide range of Pokémon products. BAM's core book business did reasonably well in the quarter; BAM president Sandra Cochran reported that sales were up by single digits in the period. Anderson added that BAM's children's department did very well, led by sales of Harry Potter titles. Anderson also claimed that BAM's Internet business had a strong quarter, helped in part by fulfilling book orders as part of the relaunch of Wal-Mart's Web site. During the quarter, the company had $4.9 million in capital expenditures as the chain opened three new superstores and invested in new technology. Anderson said that the company completed at all its stores the rollout of its Web-based technology systems that should improve the ordering capability of the chain's customers. Some stores have also started shipping books directly to customers' homes. Anderson was cautiously optimistic about prospects for the fourth quarter, explaining that the chain expects to do very well with Tim LaHaye and Jerry B. Jenkins's newest release, The Mark. "It was one of our largest buys ever," Anderson said. Children's books are also projected to sell well in the holiday season, although quarterly comparisons could be hurt since BAM sold lots of Pokémon product in last year's fourth quarter. --Jim Milliot Book Group Sales and Earnings Rise at B&NBarnes & Noble Inc. reported last week that revenues from its bookstore division increased 7.4%, to $768.7 million, for the third quarter ended October 28, 2000. Earnings before interest, taxes, depreciation and amortization (EBITDA) rose 22%, to $60 million. Superstore sales increased 10.8% in the quarter, to $689.9 million, with comparable-store sales ahead 5.6%. Total revenues for all of B&N, including its Babbage's division, rose 33%, to $951.8 million; the company recorded a net loss in the period of $5.2 million, compared to earnings of $3.4 million in last year's third quarter. For the first nine months of the year, sales in the bookstore division increased 8.3%, to $2.34 billion, with EBITDA up 23.9%, to $171 million. --Jim Milliot New Additions to Random AudioRobert Allen has been named v-p and publisher of the Random House Adult Audio Publishing group, replacing Carie Friemuth, who left in July to join HarperCollins. Allen, who starts his new job November 27, moves to the audio group from Doubleday Broadway, where he was v-p, director of sales management and planning. In his new post, Allen will oversee all the publishing activity for the RH Audiobooks and BDD Audio imprints. He will report to Jenny Frost, president of the audio publishing group as well as president of the RH Diversified Publishing group. In a second appointment in the audio division, Christine McNamara has been named to the newly created post of v-p, director of marketing. McNamara has been director of marketing for BDD Audio since 1997 and in her new post will be responsible for the marketing campaigns for BDD Audio and RH Audiobooks. She will report to Allen. In addition, McNamara will continue as associate publisher for RH's large-print operation, reporting to Frost. --Staff AAP Decries Postal IncreaseThe Association of American publishers said last week that it was seriously disappointed in the decision by the Postal Rate Commission to approve a 17.6% rate increase for bound printed matter, the mail category used to ship books. The increase for periodicals, including journals, is set to rise by slightly less than 10%. The increases, which still need to be approved by the postal board of governors, could go into effect as soon as January 7. The AAP's Alan Adler said the association was most disappointed that the PRC only reduced the rate request by the postal service by less than half a percentage point. The AAP maintains that the hike will place an enormous burden on book shipments going to bookstores, schools and book clubs. AAP president Pat Schroder commented, "Congress has said that the educational and informational value of the materials being mailed must be a key factor in setting postal rates, but this mandate was substantially ignored. I think the new Congress will want to take a close look at how well the educational and literacy needs of millions of Americans are being served under the new rate structure." Adler said a possible silver lining in the decision is that bulk mailers may be able to take advantage of certain drop shipment discounts that are part of the rate schedule. --Jim Milliot Strowbridge Named President of Dover \|Courier Corp., which acquired Dover Publications this summer (News, Aug. 21), has appointed Clarence Strowbridge president of the book publisher and a v-p of the parent company. Strowbridge, a longtime Dover employee who most recently served as executive v-p and general manager, takes over for Blanche Cirker, who had been serving as president since the death of her husband and Dover cofounder Howard Cirker. Blanche Cirker has been named president emerita and will continue her association with the company through the year. Strowbridge will report to Robert Storey, senior v-p and chief financial officer of Courier. In a second promotion, Frank Fontana has been named v-p of art and design. --Staff

News

News Shorts
Staff -- 11/20/00

Bolotin Named Editor-in-Chief at Workman | Sales Slip, Loss Widens At Books-A-Million
Book Group Sales and Earnings Rise at B&N | New Additions to Random Audio
AAP Decries Postal Increase | Strowbridge Named President of Dover

Bolotin Named Editor-in-Chief at WorkmanSusan Bolotin has joined Workman Publishing as editor-in-chief, succeeding Sally Kovalchick, who died unexpectedly this summer (News, July 24). Bolotin, who will report to Workman president Peter Workman, has been in publishing for 25 years, serving in editorial roles at both magazine and book publishers. Bolotin began her career at Random House before moving to Simon & Schuster, where she was editor-in-chief of Touchstone Books. After leaving S&S, Bolotin worked at several different magazines and most recently served as executive editor at Good Housekeeping. Workman said that Bolotin "brings an unusual breadth and depth of experience to Workman. She is smart and energetic with good publishing instincts. We look forward to her fresh perspective on developing new ideas and making wonderful books."
--Staff

Sales Slip, Loss Widens At Books-A-MillionWith sales off in its nonbook category, revenues at Books-A-Million fell 1.1%, to $90.1 million, in the third quarter ended October 28, 2000. The net loss in the period was $1.6 million, compared to $924,000 in the same quarter in fiscal 2000. Comparable store sales were off 6.8%.

BAM chairman Clyde Anderson attributed the declines to a "significant" decrease in the chain's collectors category through which the company sells a wide range of Pokémon products. BAM's core book business did reasonably well in the quarter; BAM president Sandra Cochran reported that sales were up by single digits in the period. Anderson added that BAM's children's department did very well, led by sales of Harry Potter titles. Anderson also claimed that BAM's Internet business had a strong quarter, helped in part by fulfilling book orders as part of the relaunch of Wal-Mart's Web site.

During the quarter, the company had $4.9 million in capital expenditures as the chain opened three new superstores and invested in new technology. Anderson said that the company completed at all its stores the rollout of its Web-based technology systems that should improve the ordering capability of the chain's customers. Some stores have also started shipping books directly to customers' homes.

Anderson was cautiously optimistic about prospects for the fourth quarter, explaining that the chain expects to do very well with Tim LaHaye and Jerry B. Jenkins's newest release, The Mark. "It was one of our largest buys ever," Anderson said. Children's books are also projected to sell well in the holiday season, although quarterly comparisons could be hurt since BAM sold lots of Pokémon product in last year's fourth quarter.
--Jim Milliot

Book Group Sales and Earnings Rise at B&NBarnes & Noble Inc. reported last week that revenues from its bookstore division increased 7.4%, to $768.7 million, for the third quarter ended October 28, 2000. Earnings before interest, taxes, depreciation and amortization (EBITDA) rose 22%, to $60 million. Superstore sales increased 10.8% in the quarter, to $689.9 million, with comparable-store sales ahead 5.6%. Total revenues for all of B&N, including its Babbage's division, rose 33%, to $951.8 million; the company recorded a net loss in the period of $5.2 million, compared to earnings of $3.4 million in last year's third quarter.

For the first nine months of the year, sales in the bookstore division increased 8.3%, to $2.34 billion, with EBITDA up 23.9%, to $171 million.
--Jim Milliot

New Additions to Random AudioRobert Allen has been named v-p and publisher of the Random House Adult Audio Publishing group, replacing Carie Friemuth, who left in July to join HarperCollins. Allen, who starts his new job November 27, moves to the audio group from Doubleday Broadway, where he was v-p, director of sales management and planning. In his new post, Allen will oversee all the publishing activity for the RH Audiobooks and BDD Audio imprints. He will report to Jenny Frost, president of the audio publishing group as well as president of the RH Diversified Publishing group.

In a second appointment in the audio division, Christine McNamara has been named to the newly created post of v-p, director of marketing. McNamara has been director of marketing for BDD Audio since 1997 and in her new post will be responsible for the marketing campaigns for BDD Audio and RH Audiobooks. She will report to Allen. In addition, McNamara will continue as associate publisher for RH's large-print operation, reporting to Frost.
--Staff

AAP Decries Postal IncreaseThe Association of American publishers said last week that it was seriously disappointed in the decision by the Postal Rate Commission to approve a 17.6% rate increase for bound printed matter, the mail category used to ship books. The increase for periodicals, including journals, is set to rise by slightly less than 10%. The increases, which still need to be approved by the postal board of governors, could go into effect as soon as January 7.

The AAP's Alan Adler said the association was most disappointed that the PRC only reduced the rate request by the postal service by less than half a percentage point. The AAP maintains that the hike will place an enormous burden on book shipments going to bookstores, schools and book clubs.

AAP president Pat Schroder commented, "Congress has said that the educational and informational value of the materials being mailed must be a key factor in setting postal rates, but this mandate was substantially ignored. I think the new Congress will want to take a close look at how well the educational and literacy needs of millions of Americans are being served under the new rate structure."

Adler said a possible silver lining in the decision is that bulk mailers may be able to take advantage of certain drop shipment discounts that are part of the rate schedule.
--Jim Milliot

Strowbridge Named President of Dover
|Courier Corp., which acquired Dover Publications this summer (News, Aug. 21), has appointed Clarence Strowbridge president of the book publisher and a v-p of the parent company. Strowbridge, a longtime Dover employee who most recently served as executive v-p and general manager, takes over for Blanche Cirker, who had been serving as president since the death of her husband and Dover cofounder Howard Cirker. Blanche Cirker has been named president emerita and will continue her association with the company through the year. Strowbridge will report to Robert Storey, senior v-p and chief financial officer of Courier.

In a second promotion, Frank Fontana has been named v-p of art and design.
--Staff