Best Buy axes 2 execs, expects 3Q net income drop

NEW YORK -- Best Buy says two executives, including its U.S. president, are leaving the company as it eliminates the most senior level of its U.S. operations to become more streamlined.

The struggling electronics chain also forecast a third-quarter decline in revenue in stores open at least a year and says third quarter net income will be significantly below last year's third quarter.

The moves are the latest by CEO Hubert Joly, who was hired in August to help reverse slumping sales. Best Buy is facing increasing competition from online retailers and discounters.

Mike Vitelli, president of Best Buy's U.S. business, will resign when the fiscal year ends Feb. 3. Executive Vice President of U.S. Operations Tim Sheehan will leave the company at the end of the month.