Time owner plans sale and 1,000 layoffs

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The US media company that bought Time Inc just weeks ago is looking to sell some of the firm’s most well-known magazines and plans to cut 1,000 jobs.

Meredith said the moves, which include exploring sale of Time’s namesake publication, are part of a plan to save $400m-$500m over two years.

Since closing on its $1.8bn (£1.3bn) purchase of Time in January, Meredith has already sold Time Inc UK and Golf.

The Iowa company has also cut hundreds of positions.

Meredith is owner of titles such as Better Homes & Gardens and Family Circle and says that its brands reach 175 million Americans every month, including 80% of “millennial women”.

Meredith boss Tom Harty said the titles intended for sale – Time, Sports Illustrated, Money and Fortune – have different target audiences and advertising bases, and would do better with a different owner.

“We are pleased with the inbound interest we have received, and we are confident these brands will be positioned for growth with an owner that shares Meredith’s respect for editorial integrity and independence,” he said,

Meredith said it is looking to boost advertising and circulation at Time’s other titles.

The company said the layoffs are driven by plans to consolidate certain operations in Iowa, which has lower costs. The firm has already announced 200 cuts and expects 1,000 more over 10 months.

Its purchase of Time – a transaction valued at $2.8bn including debt – was backed by Republican donors the Koch brothers.

In March Time Inc UK said music magazine NME would no longer run as a weekly edition.

 

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