The house cleaning that ShopHQ’s new management did was rather pricey for the No. 3 home shopping network, to the tune of about $5 million.
The company had previously reported that ShopHQ CEO Keith Stewart was getting
a $2.5 million severance package for his exit.
And in a filing with the Securities and Exchange Commission Tuesday, we got an update on Stewart’s final package, and also learned a bit about how much the departures of Chief Operating Officer Carol Steinberg and Chief Merchandising Officer Annette Repasch are costing the network.
“In conjunction with Mr. Stewart’s resignation and separation agreement, the Company recorded charges to income totaling $2,620,000 for the second quarter ended Aug. 2, relating primarily to severance payments,” the filing said.
ShopHQ eliminated Steinberg’s position is looking for a replacement for Repasch.
As for their packages, “in conjunction with the terminations, the affected executive officers are eligible for severance amounts which are expected to be paid in February 2015. At this time, the Company estimates severance charges totaling $2,300,000 to be recorded in the third quarter of fiscal 2014,” the SEC filing said.