M. Leonard Simon, who founded the Computer City retail computer chain nine years ago, has been named chairman and chief executive of Studio Software, an Irvine-based software publisher interested in improving its retail sales.
Charles A. Morrissey, who had held the chief executive and chairman positions, said Simon, a 19-year veteran in the computer industry, will be a valuable asset to the young, struggling company.
"Len Simon brings to our staff a level of expertise that rounds out our industry experience," said Morrissey, who remains as president and chief operating officer. "We are now prepared to move forward aggressively in the marketplace."
Simon's appointment, which was made in mid-January, came just three weeks after the company was forced to abandon its plans to launch a public stock offering that would have raised as much as $4.8 million. The company , which designs and sells printing software programs for IBM and IBM-compatible personal computers, had hoped to use proceeds from the sale to market its latest software product line.
Instead, Simon said, the company received "a significant" investment from a venture capital group to pay for its latest marketing program. Simon declined to reveal the amount of the investment.
In its 1986 fiscal year, ended June 30, the company lost $1.3 million on sales of $942,001. Cumulative losses from the company's inception in 1982 through June 30, 1986, total $4.2 million.
Simon founded Computer City in 1978, which was merged with Inacomp Computer Centers Inc. in 1983. He served as president of the Western Region of Inacomp Computer Centers from 1978 to 1986 and as executive vice president and member of the board of directors for the firm from 1983 to 1986.
"Our management team is enhanced by the addition of Len Simon," Morrissey said. "He brings to our organization a wealth of knowledge which will help us with our product offerings in the retail channel."