After a deal with Meredith Corporation to sell Time Inc. fell apart, Time Warner has decided to spin off the unit and its iconic magazines (Time, Sports Illustrated, Fortune and Money) into an independent, publicly traded company.
Time Inc. also owns magazines like People, InStyle, and Entertainment Weekly.
Along with that announcement came the news that the company’s CEO, Laura Lang, has decided to depart. Newsweek obtained a copy of the memo she sent to staff:
Today’s news that Time Warner plans to spin off Time Inc. is something that everyone is just beginning to digest. While there are many questions that can only be answered in time, one thing is already clear: the hard work we have done over the past year in maintaining our core business while at the same time becoming more digitally focused has positioned the company well. Time Inc. has incredible talent and great brands that will continue to lead our industry.
The planned spin-off has also made me reflect on what is the best path for me and the company going forward. After considerable thought, I have decided that taking the company through a transition to the public markets is not where my passion lies. Jeff has been extremely supportive and I am committed to working together with him on recruiting the right person to lead Time Inc. at the spin.
I want to thank all of you for your support over the past year. You welcomed me warmly and jumped in enthusiastically as we charted a course. I look forward to working with you as we continue to make progress.
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