Time Inc. CEO Joe Ripp announced today via a “moving forward” staff memo that executive VP David Geithner and American Express Publishing CEO Ed Kelly will depart in the revamp that will cut 500 people from the payroll ahead of the TI spin-off from Time Warner.
The brother of former Treasury Secretary Timothy Geithner is a 21-year TI veteran and head of the now disbanded style and entertainment group.
As Ripp moves to fold AmexCo publishing into the TI fold, he praised Kelly for an “incredible run” as CEO for 25 year.
Ripp said the move to a single portfolio of TI magazines would provide “more operational flexibility, speed decision-making and spur the development of new cross-brand products and revenue streams to help stabilize and grow our top-line revenues.”
The CEO believes TI’s success as a re-launched public company depends “on how investors view the momentum we are generating.”
While print and individual brand performance will remain important, Wall Street’s focus will be on how the enterprise embraces new technologies, products, markets and customers, according to the memo.
Ripp also hinted that TI may abandon its pricey New York headquarters, writing: “we’re exploring our real estate options t find a workspace that allows us to operate more efficiently with a greater sense of community.”