12/23/2010 08:40 am ET Updated May 25, 2011

Simon And Schuster Year End Results: Children's Division 'Strongest In Their History'

In a year-end letter to employees that dealt heavily with digital developments and its impact on the industry and Simon & Schuster, company CEO Carolyn Reidy thanked the publisher's worldwide staff for their efforts in helping the company achieve its profit targets, despite revenues falling below expectations. Reidy said sales were "lower than we'd like them to be" primarily because of a soft bricks-and-mortar bookselling environment that offset digital gains. She added, however, that there are signs that the retail market is beginning to stir, and challenged S&S to "focus on recapturing the revenue-based growth that properly reflects the excellence of our publishing."