In a shocking editorial shakekup at Time Inc., media veteran Norman Pearlstine is returning as the company’s first ever chief content officer, while Martha Nelson is out as editor-in-chief.
The moves are the first big ones unveiled by relatively new CEO Joe Ripp, who is preparing to spin out the company from parent Time Warner sometime next year.
Time Inc. is eliminating the EIC position in the latest restructuring as part of a plan to have individual magazine editors report into the heads of business.
Pearlstine, 71, served as Time Inc.’s editor-in-chief from 1995 to 2005, an era marked by major upheaval in the top ranks of major magazines.
He moved on to private-equity giant Carlyle Group before joining Bloomberg in 2008 as its chief content officer, where he was credited with overseeing the acquisition of BusinessWeek.
Nelson — a 20-year veteran of the company who launched In Style — succeeded John Huey as EIC in January and had been serving as an internal cheerleader of the spinoff.
Her departure is sure to spread unease among the top editors.
“It was a total surprise. Nobody saw this coming,” said one insider.
As part of the shift, the editors of the individual titles will report into the president of one of three magazine groups: David Geitner, Entertainment (People); Evelyn Webster, Lifestyle (In Style); and Todd Larsen, News (Sports Illustrated and Time).
“I would not be coming back if I was not assured that the commitment to editorial independence and integrity will be as strong as it ever was,” Pearlstine said. “It is an important tradition at Time Inc.”
The editors will have a “dotted-line relationship” to Pearlstine. That means it will take two to hire — Pearstine and the group president — but either can fire, according to Ripp.
Allowing editors to work with the business side will speed up decision making, Ripp said, adding: “We need to be faster to market.”
In another significant move, the last remaining member of the triumverate that ran Time Inc. after Jack Griffin was ousted as CEO is taking a new position.
Maurice Edelson, executive vice president and chief legal counsel, is headed to parent Time Warner as senior vice president and deputy general counsel. His first priority will be working on the spinoff.
Edelson, along with Howard Averill and Huey, formed the interim management committee that ran the company for close to a year in 2011.
Edelson will be known as the man who stood firm against Steve Jobs in the early days of the iPad when Apple was pushing Time Inc. to sell annual digital only subscriptions via the Apple newsstand.
Edelson pushed initially for an “all access plan” that sold combined print and digital subscriptions. Time Inc. has sold about 500,000 digital subscriptions — about half of that of industry leader Hearst, which counts closer to one million.
There is no word on a replacement for Pearlstine at Bloomberg.
“Norm has been an invaluable advisor to me and our entire leadership team, helping us successfully relaunch Bloomberg Businessweek and start new lines of business that continue to grow,” Bloomberg CEO Dan Doctoroff said in a statement.
“His impact will last for years to come. We thank him and wish him well.”