BN has to jump through a number of hoops to get back to profitability, but it can be done.
Now its clear that contrary to popular relief, that it wasn't the legacy B&M stores dragging down NOOK, but NOOK was in itself a loss center.
Whats thecase is that some aspects of its B&M operations lost money as well as made moneyand that some aspects of the NOOK business lost money and made money too.
On BN's to-do list:
1. Gradually close its unprofitable B&M stores.
2. Leverage its advantage with college stores.
3.Outsource hardware development to Microsoft.
4. Grow and diversify NOOK digital sales. Use the NOOK brand to move out from ebooks into other digital media- games, movies, etc.
5. Limit as best as possible losses in the coming price war with Amazon.
6. Develop its partnership with Microsoft ( who want to get into B&M stores and hardware sales). Have mini Microsoft Stores in BN stores, have a BN branded Microsoft tablet, etc.
None of this will be easy or some of it won't work, but BN can make it. All they need is a big chunk of luck and a big pair of balls