Time Warner Ends Time Inc. Sales Talks with Meredith, Announces Spinoff Instead CEO Laura Lang to step down.
After weeks of reported negotiations, Time Warner has abruptly ended talks to combine Time Inc. titles with Meredith into a new company and is instead announcing that it will spin off Time Inc. as a separate, publicly traded company. The separation is expected to be finished by the end of the year. In the meantime, Time Inc. CEO Laura Lang has decided to step down following the transaction.
Time Inc. Spinoff Has a Bumpy Road Ahead: Time Warner has decided, in the wake of talks breaking down with Meredith Corp. over a proposed spinoff company that would house a combination of the two companies' magazine brands, to form a separate, publicly-traded company on its own. It's a plan-B move and it's going to be a rough road going forward. For one thing, the combined company between Meredith and Time Inc. would have kicked back almost $2 billion in a one-time dividend to Time Warner. Now that's not going to happen and shareholders are going to have to hope that the Time Inc. spinoff will perform as well or better than TW's other spinoffs, AOL, and Time Warner Cable. The spinoff transaction is expected to be done by the end of the year.
http://www.adweek.com/news/advertising-branding/lessons-laura-langs-brief-tenure-atop-time-inc-147755
After weeks of reported negotiations, Time Warner has abruptly ended talks to combine Time Inc. titles with Meredith into a new company and is instead announcing that it will spin off Time Inc. as a separate, publicly traded company. The separation is expected to be finished by the end of the year. In the meantime, Time Inc. CEO Laura Lang has decided to step down following the transaction.
Time Inc. Spinoff Has a Bumpy Road Ahead: Time Warner has decided, in the wake of talks breaking down with Meredith Corp. over a proposed spinoff company that would house a combination of the two companies' magazine brands, to form a separate, publicly-traded company on its own. It's a plan-B move and it's going to be a rough road going forward. For one thing, the combined company between Meredith and Time Inc. would have kicked back almost $2 billion in a one-time dividend to Time Warner. Now that's not going to happen and shareholders are going to have to hope that the Time Inc. spinoff will perform as well or better than TW's other spinoffs, AOL, and Time Warner Cable. The spinoff transaction is expected to be done by the end of the year.
http://www.adweek.com/news/advertising-branding/lessons-laura-langs-brief-tenure-atop-time-inc-147755
Lessons From
Laura Lang's (Brief) Tenure Atop Time Inc.
Revenue declines, layoffs and low
morale By Lucia Moses Time Inc. CEO Laura Lang was hired away from Digitas some 15
months ago. The spinoff of Time Inc. means the end of the brutish and short tenure of CEO Laura Lang, whose 15-month run will likely be picked over in the days ahead.
When
Lang was hired away from Digitas for the post a little over a year ago, her
selection was aimed at bringing digital credibility to a publishing company
with prestige titles (Time, Fortune) but steeped in the low-growth print
business.
