Meredith Slashes 250 Jobs; Will Take $16 Million Charge; Country Home Mag Closed


imageWomen’s magazine publisher Meredith (NYSE: MDP) is cutting 250 jobs which will result in a $16 million charge — about $9 million after-tax or $0.20 per share — in Q1. It will also shutter Country Home magazine after it publishes its March issue and relocate its ReadyMade brand and properties to Des Moines, where Meredith is based. The moves were driven, naturally, by the deepening recession. Advertising, which accounts for 60 percent of Meredith’s revenue stream, continues to trend downward, said CEO Stephen Lacy, and so the company is girding itself for a tougher year.

The added caution on Meredith’s part is fairly sudden. Two months ago, it acquired a minority stake in Real Girls Media Network, as Meredith appeared to be avoiding the kind retrenchment being taken by other mag publishers. The company will release its earnings on Jan. 22. Release

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