April 11, 2012 / 6:13 PM / 7 years ago

Best Buy board still probing ex-CEO's conduct

(Reuters) - Best Buy Co Inc’s (BBY.N) board is still looking into the personal conduct of the retailer’s former chief executive even though he already left the company, a spokesman for the board said on Wednesday.

CEO Brian Dunn resigned abruptly this week from the world’s largest consumer electronics chain during a company probe into allegations of personal misconduct.

“Brian’s resignation certainly had an effect on the investigation, but the investigation remains open,” said Greg Hitt, a spokesman for Best Buy’s board.

Best Buy’s board would not comment on the possible issues, except to say they were unrelated to the company’s operations or financial controls.

“The board is still looking into these issues, and the investigation has not been closed.”

Best Buy also said on Wednesday that the terms of Dunn’s resignation were still being finalized.

In a regulatory document filed with the U.S. Securities and Exchange Commission on Wednesday, the chain said it would disclose the terms of Dunn’s resignation in a subsequent filing.

Dunn notified Best Buy’s board on Monday that he had resigned, and the board accepted his resignation effective Tuesday, according to the filing.

Best Buy said it would also soon disclose the terms of its new agreement with G. Mike Mikan, the board member chosen as interim CEO while the company searches for a successor to Dunn.

While serving as interim CEO, Mikan, 41, will remain on the board but will no longer serve on the board’s audit and compensation committees, Best Buy said in the filing.

Dunn led Best Buy for less than three years. The retailer has struggled as consumers increasingly go to its stores to check out electronics like high-definition TVs, only to end up buying them elsewhere for less.

Dunn started at Best Buy as a sales associate in 1985 and rose through the ranks to become CEO in June 2009.

Best Buy shares were up 2.8 percent at $21.91 on Wednesday afternoon on the New York Stock Exchange.

Reporting By Dhanya Skariachan in New York; editing by John Wallace and Matthew Lewis

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