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The deadline for New York Times newsroom managers to take voluntary buyouts came and went yesterday — without reaching the target of 30 takers.
Now, insiders are worried that involuntary cuts — layoffs — will start.
Jill Abramson, the executive editor overseeing the process, declined to comment yesterday as the deadline passed but several insiders worried that as few as a dozen raised their hands and volunteered — meaning up to 18 heads must roll.
The buyout process has hung over the newsroom for a month. At its conclusion it seems to have decimated the masthead — with respected veterans leaving.
Yesterday, Assistant Managing Editor Jim Roberts and Sports Editor Joe Sexton revealed that they were going — joining previously announced volunteers, including John Geddes, one of the paper’s two managing editors, and Culture Editor Jonathan Landman.
In addition, Glenn Kramon, another assistant managing editor, is peeling off the masthead — reducing the number of AMEs from five to three. Kramon plans to stay with the paper as its San Francisco-based technology editor.
William E. Schmidt, a deputy managing editor, is also rumored to be taking a buyout, although it wouldn’t be much of a shocker since he’s close to retirement age. He couldn’t be reached for comment.
Also taking the buyout: one-time Times gossip columnist Joyce Wadler and special projects editor Alice DuBois.
Gerry Marzorati, once rumored to be heading to the exit, is instead staying put, sources said, as is Susan Edgerly.
Some have jobs lined up already. DuBois said she is going to BuzzFeed.
Sexton announced to staffers he is joining ProPublica, the Paul Steiger-led investigative journalism juggernaut. Roberts, who is married to Newsday editor Debby Krenek, implied he may have something lined up — or is at least seriously looking — but did not reveal much in his Twitter postings.
“It’s been a long awesome trip. Another will follow. Stay tuned,” Roberts wrote.
Larry Ingrassia, who handed off duties as “Business Day” editor last year, is expected to take on some international and digital responsibilities — but nothing was revealed yesterday.
In addition to the downsizing of newsroom managers, the Newspaper Guild said “about 12” Guild-covered employees in the newsroom are taking buyouts as well.
But those job cuts won’t count toward the 30-person management headcount reduction target.
As recently as Wednesday, Abramson sent a memo to the staff urging all eligible to seriously consider taking the package.
“If you think the buyout is something that works for you at this time in your life, we urge you to give the offer serious consideration if you haven’t already,” Abramson wrote in the memo. “Each buyout we record reduces the possibility of layoffs.”
One insider said that it is not clear how the masthead will be rebuilt after the smoke clears. “There may be a couple of replacements, but overall the number of people on it will be down,” said one insider.
Wenner winning
Jann Wenner is said to be nearing a deal that will enable him to keep control of his company — and its titles Rolling Stone, Us Weekly and Men’s Journal. The deal will see a new lender coming on board to replace a $215 million loan.
The new lender is necessary because the debt — what is remaining from a $300 million loan — he had taken out five years ago to buy out Walt Disney’s stake in Us Weekly was coming due later this year.
The loan doesn’t come due until Oct. 1, but sources say he is pushing to have the transaction completed before March 31 and could have it hammered out within the week.
Wenner’s high-flying lifestyle may be grounded under terms of the new lender’s package.
The lender is said to be negotiating much more restrictive covenants regarding cash flow to debt.
That may crimp Wenner’s pay package — and may force the 67-year-old to slash dividends he has awarded himself and other shareholders.
Juicy corporate perks — like the Wenner Gulfstream jet — could also fall by the wayside.
The tense negotiations may also help explain why Wenner clipped two veteran employees in recent weeks.
Eric Bates, an executive editor at Rolling Stone and a 10-year veteran, is out. So is Mark Neschis, who survived seven years as the corporate spokesman for the mercurial boss, setting a new survival record for a Wenner PR person.
Two ratings firms that had taken a look at the company’s debt and cash flow in advance of the refinancing had differing opinions.
Moody’s Investors Service tabbed the business as “stable” with a corporate rating of B3 — and warned only that a downturn in the industry could tip the firm into negative terrain in 2013.
S&P said the outlook was already “negative on high leverage” and gave the company a B rating.
In its December report, S&P said the rating “reflects our expectation that leverage will remain high, given the structural pressures of declining newsstand and print advertising revenues facing the magazine publishing business.”
It added that “cost reductions may not fully offset the company’s weak revenue trends.”
Reuters rout
At global media giant Thomson Reuters, there was another round of downsizing this week and a pay freeze for anyone making over $100,000.
The size of the cuts is being debated.
The New York Observer said that 3,000 jobs, or 6 percent, of the 50,000 total worldwide will be cut.
One insider said, however, that the cutbacks would total “less than 3 percent” of worldwide staff — which Reuters’ website put at 60,000. That would translate into layoffs of approximately 1,800.
The cuts appear to be largely outside the newsroom, however. The Newspaper Guild said that only nine Guild jobs were being cut, including five in TV and print and four in technical.
Elsewhere, the Guild said it settled a case in which eight journalists were fired based on performance improvement plans, which the union contended violated contract terms.
The settlement gave them their jobs back with no disciplinary record if they desired. Six of the eight opted instead to exit with enhanced severance. One other also opted to leave, with one more still mulling whether to return.
A Thomson Reuters spokesman did not return calls for comment.
Turcotte tapped
Spanfeller Media Group has tapped former amNew York publisher Paul Turcotte to be its chief revenue officer, working on the company’s two websites.
The sites are the foodie website, The Daily Meal, and the active lifestyle site, The Active Times.
Turcotte has a long history working with company founder Jim Spanfeller.
“We worked together at Playboy 20 years ago, and we worked at Ziff Davis where I was the publisher of Yahoo! Internet Life,” said Turcotte.
He left amNew York in early 2012 after a falling-out with Diane Goldie, then editor of the Newsday-owned property.