Barnes & Noble’s board will take up the chain’s search for a new CEO after the Oct. 3 annual meeting, but there has been “no shortage of people” interested in the job, Chairman Leonard Riggio told analysts in releasing earnings.

The post has been vacant since Demos Parneros was fired in early July; Parneros is suing over his dismissal, charging that he was fired “without warning or justification” and accusing Riggio of fabricating reasons to dismiss him a month after a deal to sell the company fell through. Riggio called the suit a “smokescreen” designed to “extort” money from Barnes & Noble.

Meanwhile, in children’s books, where Barnes & Noble has seen “improving sales trends,” the chain is moving to create displays to promote graphic novels and is “building out” cross merchandising with “key franchises” in licensed products, Chief Merchandising Officer Tim Mandel said. At the same time, Barnes & Noble is pruning stationery and gift items to rid itself of “poor performing products and unproductive inventory,” Mandel said.

Barnes & Noble’s net loss widened to $17 million in Q2 ended July 28 from $10.8 million a year earlier on a 6.9 percent decline in sales to $795 million. Same-store sales decreased 6.1 percent. Book-related revenue declined seven percent as a “glitch” in its new buy online, pick up in store program hurt sales, CFO Allen Lindstrom said. Sales of non-book products declined three percent, he said.

Contact:

Allen Lindstrom, CFO, 212-633-330, alindstrom@bn.com