Time Warner boss bows out
Bewkes to whack AOL?
Richard Parsons, CEO of AOL parent company Time Warner, has fallen on his sword in hope his successor can revive the fortunes of the unwieldy internet and media empire.
Parsons will make for the exit on December 31, to be immediately replaced by current chief operating officer Jeffrey Bewkes. The move switch will be formally announced ahead of Wednesday's results, it's reported.
The group's stock has fallen to about the same level as five years ago, not long after the dot com crash. AOL in particular has failed to make the transition from a dial-up access provider with a clunky web portal and popular IM client, to a modern integrated ad network setup.
Time Warner's broadband business is handled by its cable division, which has also attracted Wall Street ire.
Many investors want Bewkes to start by amputating Time Warner's less profitable arms. He built his reputation running HBO, the cable channel that produced The Sopranos. As Ralph Cifaretto once said, "I hear Ginny Sack is having a 90-pound mole taken off her ass." ®