Time Inc new assignments

December 13, 2005
To: Time Inc. Employees
From: Ann Moore
Dear Colleagues,
I am very pleased to announce the appointments of Nora McAniff and John Squires as co-Chief Operating Officers of Time Inc., the first in our company’s history.
John and Nora have been invaluable members of the management team since I became Chairman, and I have the utmost confidence in each of them to help lead our company in 2006 and beyond. In their new roles, they will help Time Inc. better capitalize on the opportunities and more effectively meet the challenges of our rapidly changing industry, especially as we evolve beyond magazine and book publishers to a company that creates, sells and delivers premier branded content through whatever platforms consumers demand.
Along with these appointments, we are also reorganizing the management of Time Inc.’s business side to continue the streamlining effort we began over the summer. This new alignment is the result of a very thoughtful and thorough process to delayer our management structure, speed decision making, simplify communications and reduce costs. We needed to reallocate our workload and assets in order to invest in areas of higher growth, including online and new launches. A lot of work still needs to be done -- the new senior management team will work closely with each of the heads of titles and departments to develop specific strategic plans.
In the new structure, the following executives will report to Nora McAniff:
- David Geithner and Paul Caine will run The People Group as Group General Manager and Group Publisher respectively. They will now have oversight of People, Teen People and People en Espanol;
- Stephanie George will remain President of In Style, and she will add Real Simple and Essence to her portfolio;
- Tom Angelillo will remain President and CEO of SPC and will now also oversee The Parenting Group;
- Sylvia Auton will remain Chairman of IPC;
- Robin Domeniconi becomes President of Corporate Sales & Marketing, and will also oversee MNI, TMI and Time Inc. Strategic Communications
(Custom Publishing);
- Andy Blau will remain President of Life and will add All You to his portfolio;
- David Morris will return to Entertainment Weekly as its new President.
And the following executives will now report to John Squires:
- Ned Desmond will remain President of Time Inc. Interactive;
- Ed McCarrick will become President and Publisher of Time magazine;
- Mark Ford will become President of Sports Illustrated, and he will continue to run Time4Media until a successor is named;
- Chris Poleway will remain President of the Fortune/Money Group (Fortune, Money, Business 2.0, Fortune Small Business and (CNNMONEY.com);'
- Brian Wolfe will remain President of Consumer Marketing and he will also add Time Warner Retail Sales & Marketing (TDS) to his portfolio.
The senior management team will now form the “Office of the Chairman,” comprising of Nora, John, Kerry Bessey, Howard Rosen and Mike Klingensmith. Kerry will continue to run HR, and Howard will remain acting CFO. Mike will add responsibility for the Time Warner Book Group, Information Technology and Synapse. The following executives now report to him:
- David Young, Chairman & CEO of the Time Warner Book Group;
- Paul Zazzera, Senior Vice President and Chief Information Officer, IT;
- Jon Ellenthal, CEO, Synapse;
- John Redpath, General Counsel of Time Inc.;
- Maurice Edelson, Senior Vice President, Strategic Planning;
- Barry Meinerth, Senior Vice President, Production;
- Joe Mayfield, Senior Vice President, Administrative Services;
- John Reuter, President, GEE.
Unfortunately, as is the case with reorganizations, some executives will be leaving the company. They include two members of our senior management team - Richard Atkinson and Jack Haire. Each one of them has been vital to the health and growth of Time Inc. over the years, for which we are extremely grateful. We wish both of them the absolute best. Other departing senior executives include Eileen Naughton of Time, David Kieselstein of The Parenting Group, and Fred Poust and Steve Buerger of Corporate Sales. We thank each of them for their outstanding contributions and wish them all the best in future endeavors.
Change is never easy, but Time Inc.’s business-side management team of Nora, John, Mike, Kerry, Howard and I are committed to taking advantage
of the tremendous opportunities we have for innovation and growth with some of the most valuable brands in the entire media landscape. And as John Huey assumes the editorial helm of our company, I know he, too, is committed to growth and change.
I also want to take this opportunity to update you on how our company is doing. Time Inc. will have another record year (OIBDA) over last year, with advertising revenue up over $100 million and total revenue up $225 million. In fact, the Time Warner Book Group will double their profits over last year; People, InStyle, EW, SI.com, Southern Living, Cooking Light, Fortune Small Business, BabyTalk and Coastal Living will all have record years as well. Real Simple continues to grow, and is now in the top five Time Inc. magazines in terms of profitability. IPC continues to do well (recent launches Nuts and Pick Me Up are performing ahead of plan); and I’m especially pleased with our acquisitions this year of Essence and GEE.
If you participated in the Time Warner Global Employee Meeting last week, you heard from Dick Parsons, Don Logan and Jeff Bewkes that Time Warner has come a long way over the last three years. While we still have challenges, we’re finishing a good year and there’s a lot to be proud of. Time Warner has the best assets in the media and entertainment space, a solid management team and a dedicated and talented workforce. That certainly is true here at Time Inc.
Please accept my best wishes for 2006.
A. M.

Time Inc loses staff

Time Inc. today slashed 105 employees from its rolls, including some of its highest longtime publishing executives.

Ann S. Moore, chairwoman-CEO, Time Inc., announced sweeping layoffs for top executives today.

Among those losing their jobs are Jack Haire, exec VP in charge of corporate ad sales; Richard Atkinson, exec VP in charge of the news and information group; Eileen Naughton, president, Time magazine; David Kieselstein, president, the parenting group; Fred Poust, who ran corporate ad sales under Mr. Haire; and Steve Buerger, who also worked in corporate sales.

The move was part of another reorganization by Ann S. Moore, chairwoman-CEO, Time Inc., who last shuffled chairs in July, if not anywhere near so dramatically. Ms. Moore is under heavy pressure to keep Time Inc.’s numbers growing amid an uneven and hard-to-predict ad market.

Ms. Moore named Nora McAniff, exec VP-women, entertainment and luxury group, and John Squires, exec VP-sports and leisure group, to serve as co-chief operating officers, the first in the company’s history.

Robin Domeniconi, who had been president and publisher of Time Inc.’s runaway success Real Simple, was named to handle corporate sales and marketing, reporting to Ms. McAniff. Steve Sachs, from consumer marketing, was named to succeed Ms. Domeniconi at Real Simple.

And Andy Sareyan was removed from his post as president of Entertainment Weekly, to be succeeded by David Morris, who had been publisher of Sports Illustrated and was previously publisher at Entertainment Weekly.


Cathy O’Brien, who had overseen the growth markets group, was removed from that post. Growth market titles Teen People and People en Espanol are returning to oversight by People itself; All You, the third and last title in the growth group, will report to Life magazine.
Mr. Sareyan and Ms. O’Brien are talking to Time Inc. about potential new roles there.

Glen Eagle

Glen Eagle lands Sara Lee account
Glen Eagle Marketing Inc., a marketing agency with offices downtown, in Mount Crawford, Va., and Chicago, has been selected consumer promotion agency of record for Sara Lee Bakery. The Chicago office was opened to support Chicago-based clients, including Sara Lee.

The agency will be responsible for consumer promotion, sample programs and product-introduction promotions. Glen Eagle Marketing specializes in developing and executing strategic advertising, consumer promotion and marketing programs for national brands in consumer packaged goods and over-the-counter pharmaceutical industries.