Best Buy Setting Up E-Commerce Unit

Best Buy Co. said it is forming a separate unit, BestBuy.com Inc., to focus on electronic commerce as it plans to increase the products it sells over the Internet to include everything in its stores. “The organization of our e-commerce business into a subsidiary will facilitate its expansion, foster the recruitment of experienced Internet talent, and provide the flexibility to raise independent capital,” Chief Executive Richard Schulze said. The consumer electronics retailer currently has no plans to spin off the unit, a spokeswoman said. John Walden, the former president and chief operating officer of electronic grocery service Peapod Inc. who joined Minneapolis-based Best Buy in May, was named to lead BestBuy.com. Best Buy shares closed up $1.13 at $60.50 on the New York Stock Exchange.