Radio Shack Names New CEO

Day previously served in as president and COO, and later CEO of Kmart Holding Corp. (the former parent company of Kmart), taking the discounter out of bankruptcy. Prior to joining Kmart, he was CFO, then COO of Sears. He also has worked in senior positions for Safeway.

"Julian has a deep understanding of the retail industry in North America, and he is widely recognized for his ability create value for shareholders at the companies where he has served," said Thomas Plaskett, presiding director for the company's board of directors, in the announcement. "His extensive knowledge of retail operations and his experience in revitalizing some of the great American retail brands makes him the ideal person to lead RadioShack as we re-establish its pre-eminent position in the industry."

RadioShack is in the midst of a massive turnaround effort after posting a 21% decline in net income for fiscal year 2005 over 2004, though sales increased 5% and comparable store sales rose 1%. In February, RadioShack announced plans to close up to 700 stores over 18 months, relocate other units, cut costs and reinvigorate its wireless phone business.

"RadioShack is a trusted and respected brand with unparalleled levels of local presence and is represented by a group of extremely talented employees. I am honored to have been chosen to lead this dedicated group of employees as we create new value for our shareholders and an exciting experience for our customers," Day said in the same release. "I look forward to working with the management team, the board and the dedicated associates of RadioShack to produce levels of return that we and our shareholders expect."

The move also should end some turmoil for the chain. Day succeeds Claire Babrowski, who had been acting CEO since February 2006, when Dave Edmondson resigned from the position after the 2005 fiscal results were announced, and a Fort Worth Star-Telegram story revealed inaccuracies in his corporate bio and resume. Babrowski remains president and COO.