Management changes continue at Outerwall, operator of the Coinstar coin counting and Redbox movie and game rental kiosks.
Today, the Bellevue company announced that J. Scott Di Valerio — who took over the top job a that company two years ago — resigned from the board and as CEO. Board member Nora Denzel — a former Intuit exec — was named interim CEO as the company executes a full search for a new CEO.
The sudden departure sent Outerwall’s stock spiraling, with shares off more than 13 percent. Shares are up just over one percent over the past 12 months. The company also said that it expects consolidated revenue for the fourth quarter of 2014 to be approximately $598 million to $602 million.
Outerwall hit some speed bumps last year when a joint venture with Verizon to take on Netflix in movie streaming didn’t pan out. In an interview with GeekWire at CES earlier this month, Di Valerio discussed the failed attempt, saying they learned from the experience.
“We learned a lot about our consumers — what they like, what they don’t like, what they trust about us, and we’ll put that into the evaluation that we do,” Di Valerio said.
In a statement today, Outerwall chairman Nelson Chan thanks Di Valerio for his service.
“We believe the company is well-positioned due to its strong operating and financial foundation and a deep and talented team of employees,” said Chan in the statement.. “Outerwall continues to capitalize on its market-leading brands to drive profitability and deliver value for shareholders, partners and customers. To accelerate the progress we are making, the Board believes that now is the right time for a leadership change.”