Dan Sabbagh, Media Editor
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Richard Parsons, the chief executive of Time Warner, is poised to announce that he will hand over the top job at the CNN to Harry Potter conglomerate to longstanding number two Jeff Bewkes.
The announcement of the end of the African-American’s five and a half year tenure could come as soon as next week, after the matter was discussed at a board meeting in London on Wednesday and Thursday of this week.
Technically, no final decision was taken by the board — otherwise Time Warner would have had to make an immediate disclosure — but it is an open secret at the New York based group that the handover is “coming soon”. Some now believe that it is imminent, and well before a previously disclosed backstop date at end of the year.
Mr Parsons’ contract formally expires in May 2008 and it is not clear if that will be honoured precisely. He may also continue as chairman for a short period after that while Bewkes beds in. Mr Parsons himself started as just chief executive until the enforced departure of former AOL boss Steve Case in 2003.
The handover is widely expected to be followed by a review of strategy — because Mr Bewkes is widely felt to be less wedded to Time Warner’s existing corporate structure, which makes it the largest traditional, content-producing media group in the world.
Mr Parsons held together Time Warner during a difficult period after the merger with AOL soured — and maintained the conglomerate structure of the group in the face of pressure from corporate raider Carl Icahn. But the stock price — $17.72 yesterday morning — is little changed from the $17 to $19 range in the chief executive’s first month in charge in May 2002.
However, Mr Bewkes is described as far less sentimental, and could preside over a sale or spin-off the still struggling AOL and its majority-owned cable division, which the company has no present intention of replicating internationally.
Time Warner’s businesses are grouped in five divisions, ranging from the Warner Brothers and New Line film studios, to the Time Inc magazine division, with television networks such as Turner Broadcasting, AOL and US cable networks completing the set. It earned $2.27 billion in the first half, on revenues of $22.16 billion.
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Dear Mr. Wharton:
This article is about the potential changing hands of Time Warner's top job from Richard Parsons to Jeff Bewkes.
I'm not sure why you referenced slavery or Hillary Clinton's gender in your comment - unless you were perhaps providing two additional examples of infomation completely innappropriate to this article?
This is a business article. Congratulations to Richard Parsons, and to all those at Time Warner, for the fine work they have accomplished while working together over the past several years.
Laura, California
Laura , Agoura Hills,
This is to Craig of Springvill USA --
We mention that Richard Parsons is African American because of the history of slavery in the United States of America. The remnants of that history are still evident enough so that black people at Richard Parsons' level are extremely rare. It's the same reason we still see gender at the presidential level, Craig. This is just to help you out in case you were wondering why everyone was making a big deal about Hillary. You probably don't "see" gender either.
Michael Wharton, Washington DC, dc
Just going to echo what's been said before: What the heck is being said re: CNN and Harry Potter. That's either a bad piece of writing or the editor did a horrific job in not noticing that line makes no sense.
Speaking of poor editing - why did you mention that Parsons is African-American? The article doesn't mention the racial make up of any other people. Nor should it.
Pete, New York,
What is up with that first PP? And who cares that he's an african american...
levi, bob,
Why is it important to mention that Richard Parson's is African-American? When will you Americans get past the issue of race and start seeing people as just people. You will never be a strong, united country because you are too hung up on race. A country divided by race will never survive.
Paul Arnold, Laguna Beach, california, usa
Dan Sabbagh, I get the feeling that you're most focused on his race than his accomplishments.."The blacks are going out the door..Let's Party!!"
ace, charlotte,
amen to that. I have also heard that he is strongly considering running for mayor of NYC. I say, go for it! Would take a former CEO like him or Bloomberg anyday, versus the other career political hacks.
JRH, New York, NY
the tell-tale sign of any underlying salient factor... take a seemingly irrelevant fact and raise it to prominence ...without mention of why in the world it was mentioned.
now, our minds are free to roam the halls of gross stereotyping.
nice.
edgar kane, new york, ny, usa
There is no value in the way this article points out that Dick Parsons is an African-American. Perhaps your readers would have been better served to know that Mr. Parsons was the first African-American to run a major media conglomerate and with his depature there will be none.
Don, Alpharetta, USA / Georgia
So Richard Parsons is African-American. What is the ethnicity of Jeff Bewkes? What nationality is Carl Icahn, or Steve Case, or Dan Sabbagh, or Harry Potter? What difference does it make?
Color blind in USA
Craig, Springvill, USA
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