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	<title>MediaMemo &#187; economic downturn</title>
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		<title>Here Are the Cond&#233; Nast Cuts: Modern Bride, Elegant Bride, Gourmet, Cookie Closing</title>
		<link>http://mediamemo.allthingsd.com/20091005/here-are-the-conde-cuts-modern-bride-elegant-bride-gourmet-cookie-closed/</link>
		<comments>http://mediamemo.allthingsd.com/20091005/here-are-the-conde-cuts-modern-bride-elegant-bride-gourmet-cookie-closed/#comments</comments>
		<pubDate>Mon, 05 Oct 2009 14:56:55 +0000</pubDate>
		<dc:creator>Peter Kafka</dc:creator>
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		<guid isPermaLink="false">http://mediamemo.allthingsd.com/?p=11719</guid>
		<description><![CDATA[Here are the long-awaited cuts that Cond&#233; Nast has been mulling: Modern Bride, Elegant Bride, Gourmet and Cookie are all closing. More details via an internal memo from CEO Chuck Townsend.]]></description>
			<content:encoded><![CDATA[<p><a href="http://mediamemo.allthingsd.com/files/2009/03/conde-nast-building.jpg"><img class="alignright size-medium wp-image-4926" title="conde-nast-building" src="http://mediamemo.allthingsd.com/files/2009/03/conde-nast-building-300x168.jpg" alt="conde-nast-building" width="250" height="140" /></a>Here are some of the long-awaited cuts that Cond&eacute; Nast has been mulling: The publisher is shuttering Modern Bride, Elegant Bride, Gourmet and Cookie.</p>
<p>It&#8217;s not a huge shock to see some of those titles go: Cookie, for instance, wasn&#8217;t a prestige title for Cond&eacute;&#8211;like Domino, which the publisher closed down earlier this year, it was founded in 2005.</p>
<p>But Gourmet is one of Cond&eacute; Nast&#8217;s most famous titles, and editor <a href="http://www.ruthreichl.com/">Ruth Reichl</a> is one of Cond&eacute;&#8217;s best-known editors. Most observers would have figured that Bon App&eacute;tit would go instead. CEO Chuck Townsend says the Gourmet brand will live on, zombie-style, via TV and publishing deals.</p>
<p>Cond&eacute; has long cultivated a reputation as the magazine world&#8217;s most glamorous outpost, impervious to the petty concerns that bedeviled lesser folk. But the double-punch of the ad industry&#8217;s move away from print titles and a recession that pole-axed the luxury brands Cond&eacute; depends on, has staggered the publisher. (Disclosure: I do some free-lance work for Cond&eacute; title Vanity Fair).</p>
<p>Signs of trouble showed up late last year when the publisher made uncharacteristic staffing cuts. And in 2009, it began shuttering magazines: In addition to Domino, it <a href="http://mediamemo.allthingsd.com/20090427/is-conde-nast-shuttering-portfolio/">closed Portfolio in April</a>, just two years after a high-profile launch.</p>
<p>By July, Townsend had brought on consultants from McKinsey and Company to help figure out where else it could trim; the news that <a href="http://mediamemo.allthingsd.com/20090721/heres-why-mckinseys-coming-to-conde-nast-the-coming-black-september/">September ad pages would be down anywhere from 17 percent to 47 percent</a> made it clear that other titles would be going.</p>
<p>I wouldn&#8217;t expect this to be the last big set of magazine cuts, by the way: <a href="http://mediamemo.allthingsd.com/20090928/time-warner-dumping-its-magazines-not-so-fast/">Time Warner (TWX), for instance, has made it clear that it wants to hang on to Time Inc.</a> but that it thinks the publisher employs too many people who produce too many titles.</p>
<p>Here are the details on the Cond&eacute; cuts, via an internal memo (intended for public consumption) from Chuck Townsend:</p>
<blockquote class="memo"><p>From: &#8220;Townsend, Chuck&#8221;<br />
Date: Mon, 5 Oct 2009 10:16:52 -0400<br />
To: Conde Nast Publications-All &lt;_273fee@condenast.com&gt;<br />
Conversation: Announcing Changes within Condé Nast<br />
Subject: Announcing Changes within Condé Nast</p>
<p>We have now completed an extensive review of our business&#8211;an important undertaking given the dramatic changes in the U.S. economy. The review has led us to a number of decisions designed to navigate the company through the economic downturn and to position us to take advantage of coming opportunities.</p>
<p>Condé Nast’s success comes from the ability of our publications to attract readers with a wide range of interests, as well as advertisers who value them. But in this economic climate it is important to narrow our focus to titles with the greatest prospects for long-term growth.</p>
<p>As a result of our review, Brides will increase its frequency to monthly to solidify its position as the most important brand in the bridal category, and Modern Bride and Elegant Bride will close.</p>
<p>Gourmet magazine will cease monthly publication, but we will remain committed to the brand, retaining Gourmet’s book publishing and television programming, and Gourmet recipes on Epicurious.com. We will concentrate our publishing activities in the epicurean category on Bon Appétit.</p>
<p>Finally, Cookie magazine will be discontinued, and resources that had been dedicated to its publishing will be invested elsewhere.</p>
<p>The editorial and business staffs of Modern Bride, Elegant Bride, Gourmet, and Cookie all have earned their magazines large and devoted followings. We have been proud to publish these titles, and we are grateful to the staffs for their hard work and dedication.</p>
<p>These changes, combined with cost and workforce reductions now underway throughout the company, will speed the recovery of our current businesses and enable us to pursue new ventures. In the coming weeks, we hope to announce initiatives to develop digital versions of our brands that will make use of new devices and distribution channels.</p>
<p>Condé Nast is now in its 100th year of creating the most respected and iconic brands in the publishing world. These changes will ensure that our unique publishing company will continue in its preeminent position for many years to come.</p></blockquote>
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		<title>Microsoft Starts the Layoff Machine Again With Thousands of Cuts: Steve Ballmer's Memo to the Troops</title>
		<link>http://mediamemo.allthingsd.com/20090505/microsoft-starts-the-layoff-machine-again-steve-ballmers-memo-to-the-troops/</link>
		<comments>http://mediamemo.allthingsd.com/20090505/microsoft-starts-the-layoff-machine-again-steve-ballmers-memo-to-the-troops/#comments</comments>
		<pubDate>Tue, 05 May 2009 14:45:04 +0000</pubDate>
		<dc:creator>Peter Kafka</dc:creator>
				<category><![CDATA[Microsoft]]></category>
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		<guid isPermaLink="false">http://mediamemo.allthingsd.com/?p=6953</guid>
		<description><![CDATA[Here comes the second round of layoffs at Microsoft, following a first round that started in January. Today's cuts will likely end up costing about 3,000 workers their jobs. Microsoft had previously warned that it would cut up to 5,000 jobs by 2010. The good news, says CEO Steve Ballmer: The newest round means "we are mostly but not all done" with layoffs. Here's Ballmer's memo to the troops.]]></description>
			<content:encoded><![CDATA[<p><img class="alignright size-medium wp-image-4606" title="ballmer" src="http://mediamemo.allthingsd.com/files/2009/02/ballmer-199x300.jpg" alt="ballmer" width="199" height="300" />Here comes the second round of layoffs at Microsoft, following a first round that <a href="http://kara.allthingsd.com/20090122/steve-ballmers-entire-memo-to-the-microsoft-troops-about-layoffs-and-weak-results/">started in January</a>. Today&#8217;s cuts will likely end up costing about 3,000 workers their jobs. Microsoft had previously warned that it would cut up to 5,000 jobs by 2010. The good news, says CEO Steve Ballmer: The newest round means &#8220;we are mostly but not all done&#8221; with layoffs.</p>
<p>As <a href="http://www.techflash.com/microsoft/Steve_Ballmers_memo_on_Microsofts_latest_round_of_layoffs_44363987.html">Todd Bishop at TechFlash</a> notes, Microsoft (MSFT) previously cut 1,400 jobs, and hadn&#8217;t actually committed to the 5,000 number.</p>
<p>But the company just posted a <a href="http://kara.allthingsd.com/20090423/liveblogging-the-microsoft-earnings-call-glum-chris-at-the-recessiondome/">miserable quarterly-earnings report</a>, and company executives spent most of the ensuing conference call warning investors that things look dire.</p>
<p>Here&#8217;s Ballmer&#8217;s memo to the troops:</p>
<blockquote class="memo"><p>
From: Steve Ballmer<br />
Sent: Tuesday, May 05, 2009 5:43 AM<br />
To: Microsoft &#8211; All Employees (QBDG)<br />
Subject: Update: Realigning Resources and Reducing Costs</p>
<p>In January, in response to the global economic downturn, I announced our plan to adjust the company’s cost structure through spending reductions and job eliminations. Today, we are implementing the second phase of this plan.</p>
<p>This is difficult news to share. Because our success at Microsoft has always been the direct result of the talent, hard work, and commitment of our people, eliminating positions is hard.</p>
<p>Today’s action includes positions in the United States and in a number of countries around the world. In the U.S., affected employees will be notified directly by their managers today. In other countries, local leadership teams will provide more specific information about the impact to their organizations.</p>
<p>With this announcement, we are mostly but not all done with the planned 5,000 job eliminations by June 2010. We are moving quickly to reach this target in response to consistent feedback from our people and business groups that it’s important to make decisions and reduce uncertainty for employees as quickly as possible, and so that organizations can concentrate their efforts and resources on strategic objectives.</p>
<p>As we move forward, we will continue to closely monitor the impact of the economic downturn on the company and if necessary, take further actions on our cost structure including additional job eliminations.</p>
<p>For those of you directly affected by today’s announcement, I want to thank you for your contribution to Microsoft and assure you that we will continue to provide support as we did during the previous job eliminations.</p>
<p>And for everyone across the company, I want to reemphasize how much I appreciate the way you have pulled together to help the company respond to this difficult economic environment. There’s no doubt that these are very challenging times. But together, we are making the right choices to ensure that we will continue to deliver great products and position ourselves for strong future growth and profitability.</p>
<p>Thank you for your continued hard work, commitment, and focus.</p>
<p>Steve
</p></blockquote>
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		<title>[UPDATE] Time Inc. Layoffs: Publishers, Top Execs at Southern Progress and Cooking Light Out</title>
		<link>http://mediamemo.allthingsd.com/20081119/time-inc-layoffs-cottage-living-yesterday-hundreds-today/</link>
		<comments>http://mediamemo.allthingsd.com/20081119/time-inc-layoffs-cottage-living-yesterday-hundreds-today/#comments</comments>
		<pubDate>Wed, 19 Nov 2008 16:38:27 +0000</pubDate>
		<dc:creator>Peter Kafka</dc:creator>
				<category><![CDATA[Peter Kafka]]></category>
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		<guid isPermaLink="false">http://mediamemo.allthingsd.com/?p=1207</guid>
		<description><![CDATA[Time Inc. is cutting something like 600 employees, but for the past few weeks it has been doing so in small steps: 10 here, 30 there. That will change today when up to 250 people at Time Warner's magazine unit are expected to get pink-slipped. Leaving the company along with them, executives from Cooking Light and Southern Progress.]]></description>
			<content:encoded><![CDATA[<p>Time Inc. is cutting something like 600 employees, but for the past few weeks it has been doing so in small steps: <a href="http://mediamemo.allthingsd.com/20081114/more-time-inc-cuts-instyle-web-exec-plus-reader-mail/">10 here</a>, <a href="http://mediamemo.allthingsd.com/20081114/time-inc-layoff-update-30-from-essence-entertainment-weekly-many-more-to-come/">30 there</a>. That will change today, reports the <a href="http://www.nypost.com/seven/11192008/business/the_worst_of_time_s__for_250_139439.htm">New York Post&#8217;s Keith Kelly</a>, when up to 250 people at Time Warner&#8217;s (TWX) magazine unit are expected to get pink-slipped.</p>
<p>Kelly&#8217;s number for today &#8220;may be on the high side,&#8221; a person familiar with the matter counsels me. In any event, I expect to have more details later in the day. As always, I value your input, and I keep all correspondence anonymous: <a href="mailto:peter@allthingsd.com">peter@allthingsd.com</a>.</p>
<p>In the meantime, an update on this week&#8217;s cuts: I&#8217;m told Time Europe editor William Green and senior editor James Graff were laid off via phone yesterday, and that more cuts in the London office are expected today. And four-year-old Cottage Living magazine has been shut down, which means that 38 out of 47 people who worked on that title are out of work; the remainder will be placed elsewhere in the group. Announced along with the job cuts today were the departures of executives from Cooking Light and Southern Progress. Chris Allen, Senior Vice President and Publisher of Cooking Light is resigning his position, as are Southern Progress execs Bruce Akin, Karla Hardy and Dick Gardner. Here are the memos:</p>
<blockquote><p>November 18, 2008</p>
<p>To:Time Inc. Employees<br />
From:Sylvia Auton<br />
Re: Cottage Living Magazine</p>
<p>I regret to inform you that we will no longer be producing Cottage Living magazine. The November/December 2008 issue, on newsstands now, will be the magazine’s last. Cottageliving.com will also shutdown. However, the company will keep the brand alive in one of its other leading shelter titles and these plans will be finalized over the next few weeks.</p>
<p>Since its inception, Cottage Living attracted significant advertiser support and fostered a loyal following among readers. However, the economic downturn has particularly affected the shelter market and while the brand was genuinely loved by readers and advertisers alike, the economy inhibited its ability to grow and therefore, sadly, we had to make the decision to close it.</p>
<p>Cottage Living launched with a unique editorial mission. Its readership celebrated community and character over conformity, personality rather than perfection, and informality instead of pretension. The brand’s tagline: &#8216;life just right,&#8217; showed how one could ‘live large,’ even luxuriously, in a lighter footprint.</p>
<p>Launched in September 2004 with a circulation of 500,000, the brand quickly grew to 650,000 in January/February 2005. One year later, Cottage Living increased its rate base to 900,000, and then to one million in January/February 2007. Cottage Living also produced many one-time special-interest publications including Cottage Christmas and Cottage Makeovers.</p>
<p>Cottage Living also received many industry accolades including AdWeek’s &#8216;2005 Startup of the Year&#8217; and Advertising Age’s &#8216;2005 Launch Worth Watching.&#8217; It was also named to AdWeek’s &#8216;Hot List&#8217; 10 Under 50 list for two consecutive years: 2006 and 2007.</p>
<p>I want to thank the many dedicated and talented Cottage Living staffers. It was developed, edited and published by some of the best talent in the business and we can remain proud of its many achievements.</p>
<p>S.A.&#8221;</p></blockquote>
<hr />
<blockquote><p>
Subject: Staff Announcement<br />
To:       Lifestyle Business Unit Employees<br />
From:   Sylvia Auton and Steve Sachs<br />
Re:       Staff Announcement  </p>
<p>With the departure of Bruce Akin, we’re pleased to announce that Bruce Larson will assume the role of Senior Vice President and the lead executive in charge of SPC operations for Time Inc. He will be responsible for the general management of all operations in the Birmingham office, Oxmoor House and Southern Living at HOME. </p>
<p>Bruce joined the company in 1991 as a manager of corporate reporting. Over the last 17 years he has been promoted numerous times and has held jobs in a variety of areas, from corporate accounting to IT to consumer marketing and production.</p>
<p>During his tenure with Southern Progress, Bruce has shown outstanding decision-making and leadership skills and has been a key player responsible for the strong financial growth the company has enjoyed over the years. </p>
<p>Please join us in congratulating Bruce on his new assignment.&#8221;
</p></blockquote>
<hr />
<blockquote><p>
To:  Southern Progress Colleagues<br />
From:  Bruce Larson </p>
<p>I regret to announce that two longtime, trusted Southern Progress colleagues, Karla Hardy and Dick Gardner, have decided to retire at the end of the year. </p>
<p>Karla has been a steady presence in our advertising production circles ever since she joined the company in 1977 as advertising traffic manager for Progressive Farmer. In 1985, she accepted a position as assistant to the editor and advertising/production coordinator for Southern Living Classics, which merged later that year with the newly acquired Southern Accents, where she eventually moved up to advertising production manager. When we launched Coastal Living, Karla began working on both titles, and in 2007 she began helping manage advertising production for Cottage Living as well. And let’s not forget her work on Entrée. With her incredible depth of knowledge of advertising production and her keen eye for detail, it’s no wonder that Karla is so highly regarded. She knows how to best position each ad for space efficiency and visibility, and she knows how to work with our sales staff and advertisers to ensure that everyone is happy with the outcome. </p>
<p>Dick began his Southern Progress career just nine months after Karla, back in 1978. He spent the first 13 years of his SPC career on the corporate side, managing building operations, office services, and purchasing, before moving to the magazine side of the business as financial manager for Southern Living and Southern Accents. In 1995, he was named general manager of Southern Accents. One short year later, he added responsibility for the soon-to-be-launched Coastal Living. In 2004, he was named vice president and general manager for Coastal Living alone, and in 2007 he took on the GM role for Cottage Living as well. Dick is well respected for his wisdom, leadership. and kindness, not to mention his astute business sense. He knows his titles—and his staff—inside and out and never fails to find the right solution to any challenge. Plus, he has a great sense of humor. </p>
<p>There have been several times over the years when both Dick and Karla have been counted on to work on more than one title—a sure sign of how highly they’re valued around here—and each did so while managing to maintain a positive, calm outlook. Please join me in thanking them for all they’ve done for us and letting them know how much they’ll be missed.&#8221;
</p></blockquote>
<hr />
<blockquote><p>
Subject: Staff Announcement<br />
To: Lifestyle Business Unit Employees<br />
From:  Sylvia Auton<br />
Re:  Staff Announcement </p>
<p>After careful consideration, Chris Allen, Senior Vice President and Publisher of Cooking Light, has decided to leave the company.</p>
<p>A 26-year veteran, Chris first joined Cooking Light in 1991 as eastern advertising sales director and quickly rose through the ranks. Chris’ leadership and expertise resulted in enormous successes for the Cooking Light brand: Under his direction, Cooking Light has grown to become the world’s largest epicurean and healthy lifestyle magazine. </p>
<p>During his tenure, Cooking Light was named to AdWeek’s Hot List four times, Advertising Age’s &#8216;A List,&#8217; Capell’s Circulation Report’s prestigious &#8216;Triple Play Award&#8217; three times, and &#8216;Most Notable Launch of the Past 20 Years&#8217; awarded by Media Industry Newsletter and Samir Husni in 2005. Chris also presided over the launch of several groundbreaking marketing campaigns, including The Cooking Light Cruise, the Cooking Light Fit House, and Cooking Light Supper Clubs.</p>
<p>An avid cook and exercise enthusiast, Chris lived the Cooking Light brand. He’s also a rock star: The Cooking Light band, Way Past Close, has performed throughout New York City and Birmingham to clients and colleagues.</p>
<p>Earlier in his career, Chris spent eight years at PEOPLE rising from salesperson to New York divisional sales manager. </p>
<p>Please join me in thanking Chris for his many contributions to Southern Progress and Time Inc. and wishing him the very best.&#8221;
</p></blockquote>
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