Stamps.com Reports Bigger Loss, Names an Interim CEO

Stamps.com, a struggling Internet seller of mailing and shipping services, said Tuesday that its loss widened in the third quarter as it named Bruce Coleman as interim chief executive, filling one of the vacancies created when four top executives resigned this month.

Coleman, who specializes in interim management and has served as an executive at several software and service companies, will help recruit managers and guide the money-losing company’s growth.

Marvin Runyon, who became chairman after John Payne resigned as chairman and chief executive Oct. 12, announced Coleman’s appointment. Loren Smith, president and chief operating officer; Chief Financial Officer John LaValle; and Comptroller Candelario Andalon also said this month that they were resigning.

The Santa Monica-based company reported a net loss of $55.4 million, or 80 cents per share, compared with a loss of $13.7 million, or 37 cents per share, a year ago. Revenue rose 14% to $4.2 million. The company had more shares outstanding in the latest quarter.

Last week, Stamps.com said it was firing 234 workers and contract employees, about 40% of its staff.

The reductions are expected to cut the company’s burn rate and save it $30 million annually. The company had $209 million in cash as of Sept. 30.

Stamps.com said it expects to take a one-time charge related to the restructuring during the fourth quarter of 2000. In addition, the company expects to cut its expected 2001 sales and marketing expenditures by half or more from current expectations.

Shares of Stamps.com rose 38 cents, or 11%, to close at $3.94 on Nasdaq. Its earnings were released after the close of trading. The stock has fallen 91% this year.

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At a Glance

Other California company earnings, excluding one-time gains and charges unless noted:

* Los Angeles-based sporting-goods retailer Sport Chalet Inc. reported higher fiscal second-quarter earnings of $1.8 million, or 27 cents per share, compared with $1.1 million, or 16 cents, a year ago. Revenue rose 29% to $53.8 million. The company, which operates 23 stores, said the increase in sales was due to same-store sales rising 19.2% during the period ended Sept. 30. It also opened two new stores during the quarter. Sport Chalet shares rose 6 cents to close at $6.31 on Nasdaq.

* Clary Corp., a Monrovia-based maker of power systems used in medical and military applications, reported a quarterly net income of $15,000, or 1 cent per share, compared with a loss of $102,000, or 6 cents, a year ago. Sales rose to $1.5 million from $1.1 million.