The layoffs in the 8,000-person workforce will “come from all areas of Time Inc. across our locations – both domestic and international,” the magazine publishing unit’s CEO Laura Lang told staffers in a memo. No word yet on which publications will be hit hardest. The move had been anticipated, and takes place one week before Time Warner unveils its Q4 earnings and talks with Wall Street analysts. “With the significant and ongoing changes in our industry, we must continue to transform our company into one that is leaner, more nimble and more innately multi-platform,” Lang says. “To make this change, we need to operate as smartly and efficiently as possible to create room for critical investments and new initiatives. These reductions are part of this important transformation process.” In the first nine months of 2012 operating profits in the magazine unit fell 38.2% to $220M on revenues of $2.47B, -6.2%. Time Warner CEO Jeff Bewkes told an investment gathering last month that the decline in the publishing unit’s revenues “seems to be continuing.”
By DAVID LIEBERMAN, Financial Editor | Wednesday January 30, 2013 @ 12:18pm ESTTags: Time Inc, Time Warner
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