http://www.publishersmarketplace.com/lunch/free/ Publishers Lunch is the industry's "daily essential read," now shared with well over 13,000 publishing people every day. Each report gathers together stories from all over the web and print of interest to the professional trade book community, along with original reporting, plus a little perspective and the occasional wisecrack added in. en Copyright 2010 Tue, 31 Aug 2010 09:21:27 -0500 http://www.publishersmarketplace.com/ http://www.rssboard.org/rss-specification Rod Walker is leaving his job. He took over after the Borders acquisition.

The company says they have obtained the waiver from their loan covenants that they were seeking in the wake of reduced EBITDA of $ 25 million for the current fiscal year. Owners Pacific Equity Partners indicate they are "exploring a range of options to strengthen its balance sheet longer term."
TVNZ

Timber Press has hired Andrew Beckman as their new editorial director, starting September. He was formerly the editorial director of gardening and vp for Martha Stewart Living Omnimedia, where he oversaw gardening content throughout the company. He is also a cohost on the Sirius Satellite Radio show Homegrown.

Sourcebooks has hired Leah Hultenschmidt as senior editor in their New York office, acquiring romance and YA projects for their Casablanca and Fire imprints. She was editorial director at Dorchester.

Turmoil continues at the Virginia Quarterly Review in the wake of managing editor Kevin Morrissey's suicide and an investigation of accusations of bullying by the editor. The winter issue has been cancelled and the journal has "closed its offices," the NYT reports. University of Virginia spokesperson Carol Wood says, "The staff has been through a lot, and they needed to step away and take some time. We thought it might be best for all involved on the staff to take a break and step back and wait for the conclusion of the internal review."]]> http://www.publishersmarketplace.com/lunch/free/ http://www.publishersmarketplace.com/lunch/archives/006851.php Free Personnel Tue, 31 Aug 2010 09:21:27 -0500 US content acquisition. Ami Greko joins the company as senior manager, vendor relations, books. She was director of business development for GetGlue after having managed
digital marketing for Macmillan. Jan Ehrlich has been hired as director, newspapers and magazines. She was most recently director of business development for Texterity.

Kobo notes in the announcement, "Publisher relationships are something we take very seriously at Kobo. Our work with US-based publishers is growing at a frantic pace as we continue to add new vendors, deepen our retail relationships, innovate on devices, and manage the intricacies of agency relationships. Expect to see us in person more often, at more conferences, running and sponsoring events and generally making more noise."

Self-publishing giant Author Solutions believes that authors need education or inspiration--or at least are inclined to pay for some. The company announced the hiring of Suzette Conway as director of author education, "charged with creating educational workshops and programs--both online and onsite--that will help authors optimize their publishing, book marketing and book-selling efforts."

CEO Kevin Weiss says in the announcement "it makes sense that we provide educational services to the growing number of aspiring indie authors who may need only a little guidance and encouragement to reach their publishing goals."
Release

Rowman & Littlefield has a new expansive agreement to provide publishing services, both in print and electronically, as well as complete sales and distribution services, to four university presses: the University of Delaware Press, Bucknell University Press, Fairleigh Dickinson University Press and Lehigh University Press.

The presses will continue to maintain their own editorial staffs, with Rowman & Littlefield taking over "once a decision to publish has been made." The four presses "previously collaborated in a similar fashion with Associated University Presses."]]> http://www.publishersmarketplace.com/lunch/free/ http://www.publishersmarketplace.com/lunch/archives/006843.php Distribution Free Personnel University presses Mon, 30 Aug 2010 09:04:12 -0500
Investment income on the mountain of residual Harry Potter cash declined much more sharply, down from 842,000 pounds to 180,000 pounds, reaffirming that the company is much better at publishing than running a mutual fund. With a cash balance of 33.5 million pounds, the pressure will continue to find appropriate acquisitions. Chief executive Nigel Newton told Dow Jones that, following the recent pattern, they are targeting acquisitions of specialist publishers, along the lines of the Tottel purchase.

Bloomsbury USA was one of the company's best-performing units in the period, with sales up 2.3 percent at 8.9 million pounds and a rebound to profit contribution of 600,000 pounds after virtually no margin a year ago. Berlin Verlag was among the weakest performers, with sales falling 34 percent.

The company will launch Bloomsbury Australia in 2011, along with an Australian version of their successful Public Library Online subscription program, which debuted in the US this summer.
Statement]]> http://www.publishersmarketplace.com/lunch/free/ http://www.publishersmarketplace.com/lunch/archives/006838.php Earnings Reports Finance Free International News Publishers Thu, 26 Aug 2010 10:24:02 -0500 Peter Hubbard has been promoted to senior editor.

At Touchstone, Lauren Spiegel has been promoted to associate editor.

In the Eataly food and wine center opening at the end of August in the former Toy Building on lower Fifth Avenue in New York, led by Lidia and Joseph Bastianich and Mario Batali, Rizzoli Bookstore will be the exclusive bookseller. They will also manage book signings by chefs giving classes and demonstrations in the space.

Tyrus Books, founded last year, announced that they are acquiring fellow crime fiction publisher Busted Flush Press. Busted Flush publisher David Thompson "will continue in his current role, selecting approximately twenty titles a year for publication. Both companies are distributed by Consortium.
Announcement
http://www.tyrusbooks.com/news/?p=200]]> http://www.publishersmarketplace.com/lunch/free/ http://www.publishersmarketplace.com/lunch/archives/006835.php Bookstores Finance Free Personnel Merger Thu, 26 Aug 2010 10:07:41 -0500 Michele Delahunty-Cloutier as evp, chief merchandising officer, overseeing merchandising, marketing and supply chain and reporting to Mike Edwards. Most recently she was brand president for Chico's FAS, and she had been svp, general merchandise manager for Ann Taylor Stores.

Borders has also named Eric Kovats regional vp for the Southeast and Beatrice Vicente as regional vp for the West Coast. Kovats was regional vp at Stores for Heartland Automotive Services, "the largest franchisee of Jiffy Lube Stores in the country."

In other personnel news, at Crown, Rachel Berkowitz has been promoted to manager, foreign rights, and Nidhi Berry has been promoted to subsidiary rights associate, with both reporting to director of subsidiary/foreign rights Linda Kaplan.
 
NBN will distribute Writers of the Round Table Press and their forthcoming new SmarterComics series of business books presented in graphic-novel form, which launches in January 2011.]]> http://www.publishersmarketplace.com/lunch/free/ http://www.publishersmarketplace.com/lunch/archives/006833.php Bookstores Distribution Free Personnel Tue, 24 Aug 2010 17:03:44 -0500
Meanwhile, an unspecified "source familiar with the sales process" tells Reuters "nothing is going to happen for a while. It is a long road we're on." The source also says "A sale isn't the only option. It's a full process. Restructuring and any number of options are on the table." (Given that the company has very little debt, restructuring probably implies a potential rearrangement of the company's assets (the superstores; Nook and the online store; the college stores; and the publishing division).
Reuters

Separately, NY Magazine has a long piece on the battle between Len Riggio and Ron Burkle, with interviews with both principals. Their quotes would indicate an unwillingness to partner in taking the company private.

Riggio laments that he was "'the largest single sucker' in the ruinous investment in Source Interlink," controlled at the time by Burkle. Referring to a letter Burkle wrote following the announcement of the deal with Barnes & Noble College, Riggio wrote: "He told me he saw himself as a 'humanist,' perhaps owing to his associating with the former president. This was all the proof I needed to my growing suspicion that he was delusional." He also wrote: "What I realized then, and I now know with conviction, is that this guy actually believes that all the distasteful things he does are virtuous. Therefore it is an absolutely no-win situation to engage him in a game he loves to play."

Burkle expresses nearly the same sentiment in a different way: "I think it'd be hard to take anything private with Len. He has way too many conflicts." And he remarks, "With Len, you're either on the good-guy list or the bad-guy list, and I think I'm on the bad-guy list."

Of course it's hard to take Burkle's comments at face value. He still pretends that "I'm not trying to get control, I just think that with the issues in front of the company, you need new, independent board members." And he says, "This is not a battle between Len and I, even though that's what everyone wants it to be." Yet "in the next breath, Burkle said that now that Barnes & Noble's board was looking for a buyer, he would certainly consider a bid."

His larger position is that "I think people will continue to buy books. But even if we're wrong, Barnes & Noble will still be alive for five or ten more years. They really should be the last store standing."
Riggio article]]> http://www.publishersmarketplace.com/lunch/free/ http://www.publishersmarketplace.com/lunch/archives/006826.php Bookstores Finance Free Mon, 23 Aug 2010 10:32:05 -0500
They claim in the release that it was a difficult comparison to a year ago--"the success last year of the Twilight series and titles from Glenn Beck and Mark Levin proved difficult to match with this year's lineup." But for those keeping track, they used that excuse a year ago (claiming at tough comparison to the release of Breaking Dawn), and in the same quarter in 2008 as well (citing "tough comparisons to last year due to the record-breaking sales of Harry Potter and the Deathly Hallows")

They
Release]]> http://www.publishersmarketplace.com/lunch/free/ http://www.publishersmarketplace.com/lunch/archives/006822.php Booksellers Bookstores Earnings Reports Free Fri, 20 Aug 2010 11:10:49 -0500
Most significant is that the organization will expand by making used bookstores eligible for membership. They are also adding a special membership category for new stores and new members. Both used stores and new members will be charged reduced dues, as will stores with low sales volume. Tucker writes that "ABA is making these changes because we believe in the opportunities inherent for community-based, indie booksellers in this time of substantial change -- and the importance of making sure that bookstores have the resources and support necessary to take root and grow."

Tucker also notes the association's current expectation that "Google Editions will launch in the fall, well in advance of the holiday season."
Post]]> http://www.publishersmarketplace.com/lunch/free/ http://www.publishersmarketplace.com/lunch/archives/006823.php Bookstores Free Fri, 20 Aug 2010 11:10:14 -0500
In business for 39 years, they say they are "one of the few remaining independent, collectively run, politically progressive bookstores in North America."
Site posting]]> http://www.publishersmarketplace.com/lunch/free/ http://www.publishersmarketplace.com/lunch/archives/006818.php Bookstores Free Thu, 19 Aug 2010 11:30:15 -0500
Founder and chairman Len Riggio exercised almost 1 million options, paying more than $ 1.50 a share above market at the strike price of $ 16.96 (or $ 16.8 million in all). Converting the options allows Riggio to vote more shares in the proxy fight with Ron Burkle. (The poison pill prevents him from buying more shares on the open market.) The company said Riggio "continues to believe B&N's stock is undervalued and this exercise of his options demonstrates his belief in the long-term strategy of the company." Shares in the company have shown some life in the past few trading days, moving up 8 percent from Friday's close.
WSJ on options
Stewart (WSJ)
Marketwatch]]> http://www.publishersmarketplace.com/lunch/free/ http://www.publishersmarketplace.com/lunch/archives/006816.php Bookstores Finance Free Wed, 18 Aug 2010 10:58:23 -0500 Molly Stern has been officially cleared to join the Crown Publishing Group as svp, publisher of the Crown and Broadway imprints, starting immediately and reporting to president Maya Mavjee. Mavjee reiterates, as she noted in restructuring the Crown group in late April, that Stern will oversee the two lines' "traditional areas of expertise" which span a variety of "narrative nonfiction areas," but with Stern's personal focus on fiction she will also work to "grow and to provide a new vision and director for [their] fiction publishing program."

Stern was editorial director of fiction and executive editor at Viking, where she was under contract. Reportedly, Penguin Group was requiring payment from Crown to release Stern from that contract.

Anjali Singh will join the Simon & Schuster imprint as a senior editor on September 20, "casting a wide net for all kinds of nonfiction and fiction - literary, graphic, and commercial" according to publisher Jonathan Karp. She had been at Houghton Mifflin Harcourt most recently, leaving there in 2008.

Chronicle has hired Kelli Chipponeri as executive editor, children's. She was previously children's editorial director at Running Press. Other recent hires include Leigh Saffold as associate managing editor, custom publishing. In promotions, Kim Romero and Laura Lee Mattingly have both moved up to associate editor.

Apple has hired Georgina Atwell as iBookstore in the UK, the Bookseller reports. She had been online director at DK and was working as a digital consultant since last fall.

Actor Emma Thompson has been commissioned by publisher Frederick Warne to write a new Peter Rabbit story, which she intends to set in Scotland. Warne's Jennifer Cooper confirms to the BBC they "are currently in talks with Thompson regarding her writing a Peter Rabbit story to commemorate 110 years of Peter Rabbit in 2012."
BBC

In distribution news, Ingram Publisher Services will distribute Fox Chapel Publishing and--more unusually--veteran self-publisher Vantage Press, which intends to release three seasonal lists beginning in spring 2011.]]> http://www.publishersmarketplace.com/lunch/free/ http://www.publishersmarketplace.com/lunch/archives/006814.php Distribution Free Personnel Tue, 17 Aug 2010 11:46:23 -0500
The NYT covers the tensions, in which Open Book owner Terry Lucas "said Books & Books is on a course to put her already struggling store out of business." Lucas also works as a librarian in Southampton, and had negotiated to sell the store to an employee early last yar though the deal was never consummated. Her store then moved to a new more affordable location "on a side street with less foot traffic" than her Main Street quarters.

Lucas claims that Books & Books Westhampton co-owner Jack McKeown came by her store earlier in the year and offered to hire her as a consultant. "It was like somebody punched me," she says. "I said: 'I don't know why you're coming here to ask me this. Are you under the assumption that I'm going to go out of business?' And he said, 'Yes.'"

McKeown tells the Times "we have been subjected to some pretty unfair treatment by a very small minority of people. My attitude is to take the high road here and not engage in any of this."

When we asked McKeown about the situation earlier this month, he said that "since we opened on July 1, we have been met with expressions of gratitude by long-term residents, summertime visitors and fellow retailers alike for introducing so attractive and well stocked a bookstore into the greater Westhampton Beach area. Our business is booming, well ahead of plan." He says they are "bringing additional traffic to the town center" and employ five local residents full time.

The Times notes that "even its opponents, some of whom have gone inside or peeked through the enormous front windows, have grudgingly admitted that it is a beautiful place." McKeown tells us strong business at the new store "is confirming everything that our business model told us would happen. People are transferring their purchases here and away from the city or Amazon. To me it's proving how resilient and how much larger the market is out here."

Veteran bookseller and former ABA president Mitchell Kaplan, who has affiliated his separately-owned Books & Books store group with the new store for marketing purposes, says "the New York Times piece doesn't tell the whole story." He adds that "I know that all of us have tried to accommodate The Open Book in many, many different ways."
NYT]]> http://www.publishersmarketplace.com/lunch/free/ http://www.publishersmarketplace.com/lunch/archives/006813.php Bookstores Free Tue, 17 Aug 2010 11:41:56 -0500
The article also mentions what may be August's most-anticipated release, the laydown of Suzanne Collins' MOCKINGJAY on the 24th.
WSJ

Crain's offers a sweeping-if-not-particularly-specific look at the publishing business as well. Hachette Book Group ceo David Young points out that "the book is a much more robust and institutional object than the CD" and observes that "we are not an endangered species, though I'm completely aware we need to evolve further."

On the shrinking number of actual bookstores, Young says, "It would be foolish to think that every publisher can deliver the same bottom line when the physical bookstore shrinks. I very much hope that won't happen fast, and I don't think it will, but it's part of our job to figure out how to continue to be a commercial enterprise."

The article plugs Open Road (where the conference room furniture "could have been lifted from an American Legion hall") and "acclaimed novelist" Dale Peck's group imprint Mischief and Mayhem, launching not-in-bookstores publisher OR Books.
Crain's]]> http://www.publishersmarketplace.com/lunch/free/ http://www.publishersmarketplace.com/lunch/archives/006809.php Free New Releases/Forthcoming Mon, 16 Aug 2010 10:36:52 -0500 Jane Friedman has left Writer's Digest to work as a visiting professor of e-media, in the University of Cincinnati's College-Conservatory of Music.]]> http://www.publishersmarketplace.com/lunch/free/ http://www.publishersmarketplace.com/lunch/archives/006808.php Free Personnel Mon, 16 Aug 2010 10:34:31 -0500
By 12:30 Barnes & Noble announced they "were unable to conclude an agreement on mutually acceptable terms"; hours later, Strine issued his ruling, not unsurprisingly supporting the company. He concluded that the poison pill "rights plan was a proportional response to the threat the company faced" and was reasonably designed to prevent "a creeping acquisition without the benefit of receiving a control premium."

As threatened, by the close of business Burkle's Yucaipa filed paperwork with the SEC launching a proxy fight designed to unseat chairman Len Riggio and two other current BN board members at the annual meeting on September 28, and asking shareholders to amend the poison pill to allow so that Burkle (and others) could accumulate up to 30 percent of shares before the defense mechanism is triggered. Yucaipa is running Burkle, Wheego car ceo Michael McQuary, and Stephen Bollenbach (advertised during the settlement negotiations as an "independent" director, even though he has clear ties to Burkle) for the board of directors.

As Strine pointed out in his ruling, "there is good reason to believe that Yucaipa will succeed in a proxy contest" with the support of "admiring and devoted fellow traveler" Aletheia plus the votes of other institutional owners. Strine reckoned that if about 91 percent of shares are voted--with about 38 percent locked up by the Riggios and insiders, and an almost equal amount with Burkle and Aletheia--shareholders controlling 8 percent of the stock, or approximately 4.75 million shares, could tip the balance. (According to online records, the four largest institutional owners hold over 7 million shares by themselves.)

The market has been understandably perplexed by the developments: yesterday shares were up on the rumor settled, down on the end of talks, up again with the Delaware verdict, and down again this morning on the looming proxy fight.

The big question now is whether this proxy fight ever makes it as far as the annual meeting. While some investment analysts have questioned whether founder and chairman Len Riggio wants to take the company private or is ready to cash out and let someone else take control, the idea of Barnes & Noble as a public company without Riggio on the board--exercising a strong voice on the company's "strategic alternatives"--is all but inconceivable. As chancellor Strine observed in his ruling, though BN technically and barely meets the criteria for having a majority of independent directors, it "continues to have a good deal of the feel of the board of a controlled company."

So our reasoning would suggest that if Barnes & Noble cannot guarantee sufficient support for its slate of directors in a very short timeframe, the odds of a deal to take the company private only increase. ]]> http://www.publishersmarketplace.com/lunch/free/ http://www.publishersmarketplace.com/lunch/archives/006806.php Bookstores Finance Free Fri, 13 Aug 2010 10:30:37 -0500