Weak sales in its videogame division pushed Barnes and Noble to a second quarter loss. The company lost $8.6 million in the second quarter of this year, a sharp decline from last year's second quarter earnings of $23 million. Much of the loss is attributed to weaker than expected performance from Barnes and Noble's, Babbage's, and Funco videogame stores. Though games sales were higher than expected, reaching $127 million, poor hardware and accessory sales drove down gross margins.