fairmount food group , llc ( ffg ) is a food industrial company headquartered in dallas , texas .

the company was established in 2003 by bing graffunder ( ceo ) and sam hillin ( cfo ) .

the company began with an initial $ 200 million in equity financing from gtcr golder rauner .

the purpose of the company is to acquire growth companies in the industry .

fairmount food group

gtcr llc , fairmount food group llc purchase dci cheese co . , inc .
advised ongtcr llc , fairmount food group llc purchase dci cheese co . , inc .
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gtcr llc , fairmount food group llc purchase swissrose international , inc . from conagra brands , inc .
fairmount food group llc is an entrant in the food and beverage industry focused on acquiring companies in growth segments of the industry . the company specifically targets opportunities in the branded specialty cheese segment serving retail and foodservice customers . fairmount established its first operating vertical in the cheese indust ry through the acquisition of dci cheese company , inc . , a mayville , wisconsin - based manufacturer and marketer of branded , specialty cheese products sold through the grocery and foodservice channels under the black diamond , great midwest , and other labels .
the addition of swissrose is a major step toward expanding our branded offerings and delivering our customers the very best products and customer service ,
said graffunder , ceo of fairmount food group .
with this acquisition we are more than doubling the size of our specialty cheese portfolio and expanding our u . s . presence from coast to coast .
founded in 1938 , swissrose is a leading marketer of specialty and imported cheeses to retail and foodservice customers nationally . as a result of the transaction , fairmount will be the largest u . s . importer and marketer of specialty and deli - style cheeses , with the combined business generating more than $ 500 million in annual revenues . the deal marks the fifth such acquisition for gtcr and dallas - based fairmount food group , whose recent additions have included dci cheese company , its platform acquisition , green bay cheese , carter meister and g & g ; foods .
we are pleased to facilitate this transaction between two outstanding and highly complementary companies ,
said vince hemmer , principal at gtcr .
with its broad portfolio of import licenses and great track record of selling high - quality specialty cheeses to retailers , swissrose is an extremely valuable addition to fairmount ' s portfolio of branded cheese and other deli aisle food products .
as one of the nation’s largest foodservice distributors , we focus on bringing great food—and great careers—to the table . we strive to hire , develop and retain the best talent available .
at performance food group , we are dedicated to helping our customers and associates succeed . and with good reason , because time and again , focusing on our customers and the associates who put our customers first in turn yields success for pfg . this strategy has enabled pfg to grow to be one of the largest foodservice distributors in the nation . through our divisions , performance foodservice , vistar and pfg customized , we distribute food and related products to customers across the united states . it takes passionate , skilled people to keep our warehouses efficient , our trucks moving , and our customers happy .
performance food group’s entrepreneurial spirit dates back to its founding days . today , we are one large company with three divisions that operate individually , while still embodying that same entrepreneurial spirit . this approach infuses the entire company with a healthy combination of autonomy and accountability , empowering us to build robust relationships with our customers . using the latest in technology and operations , we nurture these relationships and serve their unique needs to ensure success .
we see exceptional growth potential in the specialty foods niche as consumer tastes trend toward premium - quality , healthy and organic items ,
hemmer added .
by partnering with bing and building fairmount through strategic acquisitions , we were in a very unique position to acquire swissrose .
gtcr is a leading private equity investor in the consumer products sector , where it targets high - quality companies with unique opportunities for earnings growth . as consumer demand for specialty food and beverage products rises , gtcr is partnering with experienced management teams who can generate superior earnings growth through product and service innovation , strong sales management and marketing savvy .
performance food group and / or its subsidiaries ( individually or collectively , the “company” ) provides equal employment opportunity ( eeo ) to all applicants and employees , regardless of race , color , national origin , sex , marital status , pregnancy , sexual orientation , gender identity , religion , age , disability , genetic information , veteran status or any other characteristic protected by applicable local , state , and federal laws and regulations . please click on the following links to review : ( 1 ) our eeo policy ; ( 2 ) the “eeo is the law” poster and supplement ; and ( 3 ) the pay transparency policy statement . the company grants reasonable accommodations to applicants with known disabilities , unless doing so would pose an undue hardship for the company . if you need an accommodation to complete the application process , please contact human resources at 804 - 484 - 7700 .
while gourmet retailer no longer exists as a separate print publication and website , progressive grocer will continue to feature new content about boutique retailing in our ongoing coverage of independent grocers .
please update your gourmet retailer bookmark and check our independent grocers topic page regularly for updates and fresh content .
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we believe that a diverse company leads to a strong , engaged workforce . in fact , pfg has grown to be one of the nation ' s premier foodservice distributors because of our associates . we strive to attract , develop and retain talent of all backgrounds . that ' s a business practice we are confident will sustain our success .
put people first we respect and care about one another . we take personal responsibility for the safety of ourselves and others . we foster a culture of openness and trust . customer focus we are committed to our customers’ success . we deliver excellence in our products and services . we exceed expectations . do the right thing we act with honesty and integrity . we accept responsibility for our decisions and actions . we serve the communities where we live and work . thrive on innovation we encourage ideas that will make us better . we inspire creativity and embrace change . we collaborate to find new ways to drive our company forward .
as a nationwide employer , we offer total compensation packages that help our associates lead healthy lives at work and at home . we offer flexible benefits designed for individuals and families that are focused on health and wellness , financial security and work - life balance designed to meet the needs of our diverse team of associates .
associates have access to comprehensive programs to help make it easier to get the care you need . we offer medical , dental , vision , and prescription drug coverage , along with many other health and wellness plans designed to help you live your healthiest life .
the time to plan for your future is now . we offer a variety of programs such as a 401k plan , flexible spending accounts and life insurance policies to help get you started .
we recognize the importance of providing our associates with time out of the office to spend with friends and family . from paid time off and short term / long term disability to adoption assistance , we understand that life happens , and we’re committed to providing the support you need , whenever you need it .
providing growth and career development opportunities for our associates is a top priority . educational assistance and professional development tools are just a sampling of how we invest in our associates every day .
kevin holbrook , a warehouse manager at performance foodservice , started with us part - time 18 years ago . he progressed through many roles such as order selector , nightshift supervisor , and dayshift supervisor , before being promoted into his current role .
at each and every position or new challenge…someone in management encouraged me to take the opportunity and felt i had the talent or skills to excel in that new role .
erica dunn , a buyer at performance foodservice – florida , started her career with us 10 years ago . she has been promoted multiple times before settling into her current role . with the support of pfg she is pursuing a degree in business management .
the support from pfg to further my education has helped me get to where i am and where i am going . i look forward to earning my degree and advancing within the company .
mott willis served nearly four years in the u . s . air force stationed in alaska . just months after leaving the military in 1987 , he was hired as a fork lift operator at pfg . he has advanced through several positions over the past 3 decades , earning his current role as a warehouse manager at performance foodservice .
pfg has allowed me to grow in my role , which enabled me to advance my career . it ' s been a great fit for me and my family .
jamie guadagnino began her journey with pfg 18 years ago as a customer service representative . she advanced through a variety of positions over the years and through hard work and commitment , she is now president of vistar phoenix .
i value the trust and investment that pfg places in my development . i still have much to learn in my current role , and look forward to working here for many more years to come .
pfg is a great place to start and build a career . we hire in a variety of fields .
our company is all about surpassing our customers’ expectations by listening , using the latest technologies and increasing operational efficiencies . our success depends on our customers’ success and our associates stop at nothing to get the job done .
media trisha meade manager , corporate communications communications @ urltoken investors michael d . neese vp , investor relations michael . neese @ urltoken additional inquiries contact us
gtcr ' s investment success in consumer products and services reflects the firms underlying investment philosophy of partnering with exceptional management teams to build leading companies organically and through acquisitions .
founded in 1980 , gtcr golder rauner , llc is a leading private equity investment firm and long - term strategic partner for outstanding management teams . the chicago - based firm pioneered the investment strategy of identifying and partnering with exceptional executives to acquire and build companies through a combination of acquisitions and strong internal growth . gtcr currently manages more than $ 8 billion of equity capital invested in a wide range of companies and industries . more information can be found at urltoken .
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xiaomi’s weak debut signals trouble for upcoming hong kong tech listings : reuter . . .
alpinvest is an active , long - term manager which aims to provide fund , secondary , co - investment , and mezzanine financing for companies in a range of sectors , including manufacturing , business and technology services , media and information , finance and insurance , retail , and healthcare . the firm seeks to make fund investments across the s pectrum of private equity market , including buyouts , venture capital , mezzanine , distressed securities , secondary , sustainable energy and other specialty funds . alpinvest ' s fund investments team takes a long - term investment perspective and follows an allocation process which includes top - down segment analysis and bottom - up general manager selection . the investment team regularly conducts a top - down analysis of the general characteristics , size , and growth of all private equity market segments . when they identify favorable segments , they select the general partners based on the team ' s desired geography , industry focus , and stage - of - life focus . the firm ' s secondary investments team acquires and restructures portfolios of private equity assets ranging from eur 1 million to over 1 billion , partnering with private equity investors to provide creative portfolio solutions . alpinvest ' s co - investments team invests alongside private equity sponsors in leveraged buyouts and growth capital transactions throughout europe , north america , and asia , seeking to invest in a range of businesses in all major industry sectors . the firm constructs diversified portfolios by investing in a range of partner funds in the middle and large buyout segments of the market . their mezzanine team invests in a variety of mezzanine securities across industries on a global basis . the team considers single investments up to eur 100 million , seeking to invest in a range of mezzanine transactions , including lbos , recapitalizations , and growth financings .
gtcr manages a variety of private investment funds that focus primarily on private equity and equity - related investments . although the main focus of the funds is on private equity investments , the firm may from time to time recommend other types of investments consistent with a respective fund ' s investment strategy and objectives . gtcr ' s investments focus primarily on the following sectors : information services and technology , financial services and technology ; media & telecommunications ; healthcare ; and growth business services .
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time inc. is a multinational mass media corporation founded on november 28 , 1922 by henry luce and briton hadden and based in new york city .

it owns and publishes over 100 magazine brands , most notably its flagship time .

other magazines include sports illustrated , travel + leisure , food & wine , fortune , people , instyle , life , golf magazine , southern living , essence , real simple , and entertainment weekly .

it also has subsidiaries which it co-operates with the uk magazine house time inc . uk , whose major titles include what 's on tv , nme , country life , and wallpaper .

time inc. also co-operates over 60 websites and digital-only titles including myrecipes , thesnug , hellogiggles , and mimi .

time inc. also owns the rights to life , a well-known magazine that has been published in many different formats .

time inc. currently owns and runs life.com , a website dedicated to news and photography .

in 1990 , time inc. merged with warner communications to form the media conglomerate time warner .

this merger lasted until the company was spun off on june 9 , 2014 .

time inc .

tagged : henry luce media ownership people magazine spinoff time inc . time magazine timeline
time inc : a publisher of magazine titles including time , fortune , and sports illustrated .
time inc . will remove a time capsule placed in the time & life building , which it vacated two years ago .
edgar bronfman jr . ’s group is said to drop bid for time inc .
time inc . and warner communications inc . announced yesterday that they plan to merge , creating the largest media and entertainment conglomerate in the world .
wong is assuming oversight of time inc . product engineering , the company said on monday .
with the headline : time inc . and warner to merge , creating largest media company .
) - - time inc . ( nyse : time ) today announced the acquisition of three companies that will form the foundation of sports illustrated play , a new time inc . business devoted to youth and amateur sports .
time warner recently parted ways with its magazine unit , time inc . , making time inc . its own independent magazine media company . reactions to the move ranged from skepticism to hesitant optimism , and left magazine industry observers wondering if time inc . can reinvent itself for success as it approaches its hundredth year of operation .
time inc . represented itself in this transaction . telos advisors served as financial advisor to hellogiggles .
content from / drive , fast lane daily will be combined with time inc . ' s urltoken
news about time inc . , including commentary and archival articles published in the new york times .
reginald k . brack jr . , 79 , dies ; led time inc . into entertainment era
in july , bewkes named joseph ripp ceo of time inc . after a four - month search .
here ' s how time inc . is telling staffers that it ' s selling magazines - business insider
it ' s official : time inc . buys amex ' s food & wine , travel & leisure magazines
here ' s how time inc . is telling employees that it ' s selling the magazines they work for
in a related digital move , time inc . last week acquired data - marketing firm viant , owner of myspace . time inc . said it expects viant to contribute $ 100 million in digital - ad sales this year .
what were your favorite time inc . perks ? former employees can feed the daily beast in the comments below .
ms . bonniwell held a number of top positions at time inc . at a heady time for magazine publishing , paving the way for future female managers .
colin bodell , the chief technology officer of time inc . , was fired monday morning , the post has learned .
time inc . could end up selling the tampa division , sources said , or entering a partnership / outsourcing deal .
when time inc . lets staffers know that their publications are up for sale , it uses a series of talking points .
joseph a . ripp , time inc . ' s chief executive , unveiled plans for the job cuts , but not the number of layoffs , on tuesday in a letter to employees . the cuts were announced as time inc . prepared to be spun off from its parent , time warner .
deadline ' s david lieberman looks at the challenges time inc faces as it enters a new chapter as a publicly traded company .
time inc . is about to name a new c - suite executive — a chief transformation officer , media ink has learned .
a person walks past the logo of time inc . in the lobby of their headquarters in lower manhattan in new york city .
christopher byron , financial writer and author of ‘martha inc . , ’ dies at 72
programmatic technology – viant’s advertising cloud platform brings time inc . programmatic advertising technology with people based data management , targeting , and advanced analytics .
time inc . , with its print - related revenue facing a steady decline , has been actively acquiring digital businesses in the past year .
los angeles media startup hellogiggles , co - founded by actress zooey deschanel , was sold to time inc . , the companies announced monday .
time inc . has never officially confirmed mckinsey’s presence . internally , the consulting firm has been known only by its code name , k2 .
at staff meetings held soon after the meredith corporation reached a deal made possible by koch industries , time inc . employees have hard questions .
time inc . , the publisher of fortune , people and time magazines , reported a lower - than - expected quarterly revenue on tuesday , hurt by declines in magazine sales and advertising revenue .
quality content – time inc . is the leader in producing the highest quality content reaching 150 million consumers every month across the world’s most recognized brands including time , sports illustrated , fortune and people .
levin resigned in 2002 , and time warner has spent the ensuing decade reshaping itself and slimming down . over time , it has divested itself of the time warner book group , warner music group , time warner cable , and aol . now , having tried and failed to sell time inc . —home of iconic publications like time , people , and fortune ( where i write a monthly economics column ) —to meredith corporation on acceptable terms , it is spinning off the publisher as a separate company with its own stock . “after a thorough review of options , we believe that a separation will better position both time warner and time inc . , ” jeffrey bewkes , time warner’s current boss , said wednesday . “time inc . will also benefit from the flexibility and focus of being a stand - alone company . ”
“i am gainfully employed by time inc . and looking forward to a long and fruitful career with them , ” he said on may 2 .
bodell’s star was seen as eclipsed when jennifer wong was lured from popsugar and was tapped in december to be president of time inc . digital .
last week , when time inc . was pitching its digital media options to ad agencies , wong spoke to the crowd . bodell was not present .
as charles and david koch back the meredith corporation’s effort to buy time inc . , some see a new way for them to advance their libertarian agenda .
the magazine company is preparing to spin off from time warner inc . in the first quarter of 2014 . time warner ceo jeffrey bewkes announced plans in march to separate time inc . - - his worst - performing division - - after an unsuccessful effort to create a joint venture with meredith corp . , publisher of women ' s titles such as ladies ' home journal .
the magazines , some of the most celebrated titles in the industry , clashed with the lifestyle publications favored by meredith , which bought time inc . last year .
first party data – bolstering viant’s vast pool of registration data with time inc . ’s subscriber database creates a first party dataset that rivals industry leaders facebook and google .
time inc . , pumping more gas into its digital business , has acquired automotive youtube channels / drive and fast lane daily to expand its audience of car buffs .
though it’s tempting to focus on the future of time inc . , a brief tour into its past lends perspective on this latest move . it turns out that time inc . has a long history of ownership drama . its plot line is characterized by repeated expansion into new areas and technologies , and then the spinning off of subsidiaries to renew focus on the company’s core businesses — time and again .
: investors gave time inc a rude welcome this morning as the legendary magazine operation became a publicly traded company , but didn’t reward time warner as it officially became an all movie and tv power . time inc shares on the new york stock exchange are down 5 . 5 % in early trading from the prices being paid on friday for the stock on a “when issued” basis . time warner is down 3 . 3 % , and touched a 52 - week low of $ 68 . 15 . the entertainment giant’s investors received one share of time for every eight shares they own in time warner .
in other time inc . news on monday , the company said vita sheehy , vp of business operations , is leaving — as is jt kostman , chief data officer .
time inc . jaison blair , 212 - 522 - 5952 jaison . blair @ urltoken or jill s . davison , 212 - 522 - 0105 jill . davison @ urltoken
below is a timeline of time inc . that helps put it all into perspective . click on bubbles on the timeline to learn more about points in the company’s history .
long before movies like “the wolf of wall street” were popular fare , mr . byron was revealing the seamy underside of business in books about martha stewart and time inc .
connecting with “female millennials , ” said rich battista , executive vice president of time inc . hellogiggles , with 22 employees , will sit alongside magazine brands people and entertainment weekly .
after buying time inc . for $ 2 . 8 billion , meredith is the largest magazine company in the united states , but it’s not about to change its unassuming style .
fortune , the business magazine was launched in 1930 , followed by life in 1934 , house & home in 1952 , and sports illustrated in 1954 . by mid 1960s , time inc became one of the most reputed magazine publishers across the globe . in 1989 , time inc merged with warner communications to form time warner . in 2008 , the company launched maghound , a web based membership service for magazines , which featured around 300 titles of magazines from time inc and some other publishers too . in 2010 , it joined hands with abp group to start publishing fortune india magazine and a yearly fortune india 500 list . in 2013 , time inc bought a number of titles from american express , including departures , executive travel , black ink , food & wine , and travel + leisure .
all of this is indicative of the struggles of magazine publishers in 2017 , as former media stalwarts like time inc . have struggled to adapt to the digital age . time inc . ' s revenue and operating profit have both fallen sharply over the past decade . so time has embarked on a series of
portfolio rationalization
efforts — essentially asset sales — after deciding not to entertain takeover offers for the entire company in april .
time inc is an established name in the publishing industry . it is a reputed name among reading lovers , and millions of subscribers . time inc covers wider avenues in inspiration , helping people to find solutions and advice for different aspects of their life . whether it is travel , women issues , business operations , financial information , news , food or anything else , you will definitely find a time as a suitable option for your needs .
stylefeeder , a recommendation engine for shoppers , has been acquired by time inc . , the wsj reported earlier this morning . time chose not to disclose the purchase price , but the newspaper cites a source who said it was “well into eight figures . ”
* copyright © 2018 insider inc . all rights reserved . registration on or use of this site constitutes acceptance of our
since becoming an independent public company in 2014 , time inc . has been expanding its brands , content and audiences into new revenue streams . in july 2015 time inc . purchased invnt , a company that specializes in live media , and announced the creation of sports illustrated play , a new business devoted to youth and amateur sports . time inc . also acquired uk cycling events ( ukce ) , a leading uk provider of premium cycling events , and fansided , a sports , entertainment and lifestyle network of more than 300 websites with a collective audience of approximately 15 million monthly unique visitors .
an analyst for drexel burnham lambert inc . , john reidy , called the deal ' ' mind - boggling . ' '
portelette will add business oversight of / drive and fld to his responsibilities . matt bean , svp of editorial innovation at time inc . , is the editorial director of the newly merged auto brands .
time inc . also adds departures , black ink and executive travel to its roster of 21 titles , the publisher said tuesday in a statement . word of the pending deal first emerged on monday .
time ' s properties include time , people , money and sports illustrated , as well as home box office , the pay - television operator ; time - life books , and book - of - the - month club .
“when we enter the public markets in a few short months , our success will depend on how investors view the momentum we are generating at the new time inc . , ” mr . ripp wrote .
i used to say when i would pass a particularly lavish house in foreign capital , ‘that’s either an arab embassy or the home of the time inc . bureau chief . ’
- calvin trillin
deschanel added :
with time inc . as our partner , we ' ll be able to expand the hellogiggles mission and inspire and support even more young women with a safe and positive media platform .
as part of the streamlining , time inc . this week is expected to hold preliminary talks with potential suitors or partners for its massive data operation , the tampa customer service division , which employs 700 people .
it turns out that time inc . has a long history of ownership drama . its plot line is characterized by repeated expansion into new areas and technologies , and then the spinning off of subsidiaries to renew focus on the company ' s core businesses - - time and again .
from the new york times . you may opt - out at any time .
as chairman of time warner , bewkes , who took over in 2009 , has been a big success so far . however , even he would probably admit that investing in time inc . and turning it around wasn’t his top priority . nor should it have been . compared to the film and television businesses that come under his purview , publishing is a sideshow . in 2012 , time warner generated revenues of close to twenty - nine billion dollars and more than six billion dollars in operating income . time inc . generated less than a tenth of those revenues and about a thirteenth of those profits .
time inc . , pumping more gas into its digital business , has acquired automotive youtube channels / drive and fast lane daily to expand its audience of car buffs . terms of the deals weren’t disclosed . the media company will merge content from / drive ( pronounced “slash drive” ) and fld with thedrive . com , the automotive industry and lifestyle site time inc . ’s the foundry division launched in september 2015 . the teams [ … ]
time inc . , the largest magazine publisher in the u . s . , has agreed to acquire american express co . ' s publishing arm , which includes titles such as food & wine and travel & leisure .
rossi will remain in her ceo role and report to rich battista , executive vice president of time inc . and president of people , entertainment weekly and people en español . deschanel will continue to serve as chief creative officer of hellogiggles . the company will retain its name and remain in its current headquarters in los angeles , california . while continuing to operate as a separate business , hellogiggles will have access to the considerable assets of time inc .
and now time warner is spinning off time inc , the publishing business on which it was founded . why ? legacy print media companies are facing structural challenges from declining circulation and low advertising rates . as with all spinoffs , the idea is that the sum of the parts is greater than the whole . time warner’s valuation should rise , as it no longer has a print asset weighing it down . in theory , time inc . should also rise , with a more focused management team dedicated solely to magazine publishing . as a business , it has some attractive qualities . according to regulatory filings , time inc . generated $ 3 . 3 billion in revenue last year , and it expects that to grow by about 2 % this year . it has a diverse portfolio of advertisers , and makes about a third of its money from subscriptions .
© 2017 time inc . all rights reserved . use of this site constitutes acceptance of our terms of use and privacy policy ( your california privacy rights ) . time may receive compensation for some links to products and services on this website . offers may be subject to change without notice . | eu data subject requests
time inc . ( nyse : time ) is one of the world ' s leading media companies , with a monthly global print audience of over 120 million and worldwide digital properties that attract more than 120 million visitors each month , including over 50 websites . influential brands include people , sports illustrated , instyle , time , real simple , southern living , entertainment weekly , travel + leisure , cooking light , fortune and food & wine , as well as more than 50 diverse titles in the united kingdom , such as decanter , horse & hound and wallpaper * . time inc . is home to celebrated events and franchises , including the fortune 500 , time 100 , people’s sexiest man alive , sports illustrated’s sportsman of the year , the food & wine classic in aspen , the essence festival and the biennial fortune global forum . hundreds of thousands of people attend these live media events each year . time inc . also provides content marketing , targeted local print and digital advertising programs , branded book publishing and marketing and support services , including subscription sales services for magazines and other products , retail distribution and marketing services and customer service and fulfillment services , for time inc . brands and third - party clients , including other magazine publishers .
time warner : a media conglomerate that owns , among other businesses , hbo and cnn .
evidently though , it’s a business that is not desired by the sprawling media conglomerate it once spawned . time warner is not the only media company retreating from print— rupert murdoch separated his film studios and television assets from his publishing empire this time last year . but while murdoch allocated $ 2 . 6 billion in cash for news corp to pursue acquisitions , time warner is saddling time inc with about $ 1 . 3 billion in debt , in part so it can it a reap a $ 600 million special dividend .
time inc . is a leading name in the digital and print magazine content based in the us . with over 60 iconic brands under its belt , some of its most popular titles include travel + leisure , sports illustrated , people , fortune , food & wine , golf magazine , life , instyle , essence , entertainment weekly , real simple , and many more . it also owns the uk based magazine house , time inc uk , the major titles of which include nme , horse & hound , country life , decanter , wallpaper , and what’s on tv . the content by time inc . is published not only in print , but also over the internet , and across mobile phones , tablets and other internet enabled platforms .
time inc . ( nyse : time ) is one of the world ' s leading media companies , with a monthly global print audience of over 120 million and worldwide digital properties that attract more than 140 million visitors each month , including over 60 websites . our influential brands include people , sports illustrated , instyle , time , real simple , and southern living , as well as more than 50 diverse titles in the united kingdom .
“a single time inc . portfolio will give us more operational flexibility , speed decision - making and spur the development of new cross - brand products and revenue streams to help stabilize and grow our top - line revenues , ” mr . ripp said .
when the deal closes , the american express titles will report into evelyn webster , exec vp and group president of time inc . ' s lifestyle group . ed kelly , president - ceo at american express publishing , will report to ms . webster .
“we’re already seeing a tremendous response to thedrive . com , and with the added perspective from / drive and fld , we’re going to create a dynamic network for auto enthusiasts everywhere , ” said edouard portelette , time inc . ’s vp of business operations .
time warner investors as of may 23 will receive one share of time inc for every eight that they own in the entertainment giant , the company says in an sec filing . the new stock will trade under the ticker symbol time on the new york stock exchange . “as an independent , publicly - traded company , we believe we can more effectively focus on our objectives and satisfy the strategic needs of our business , ” time ceo joe ripp says in a statement to his new investors . the company expects to initially have 715 , 000 stockholders owning 110 . 3m shares of time . it has 23 print magazines in the u . s . including people , sports illustrated , time , and fortune , as well as more than 45 websites .
it looks like myspace is becoming a big - media property once again . today during its quarterly earnings report , time inc announced that it has acquired viant , a profitable company that has built a large ad tech business , but also owns other properties , including once - hot social networking site myspace . terms of the deal are not being disclosed . as part of it , time inc will become a majority owner of viant , with the vanderhook family , which founded viant , retaining a minority stake ( percentages undisclosed ) .
founders briton hadden and henry luce left their jobs in 1922 at the age of 23 years , and founded time inc . the same year . the first issue of time was published in march 1923 , which was the first news magazine in the us that came every week at that time . luce worked as the company’s business manager , and hadden became its editor - in - chief . with the sudden death of hadden in 1929 , luce acquired hadden’s position .
kurt rao , has been named svp of tech operations . he was most recently at time warner .
time inc . , the magazine giant with brands including people , sports illustrated and fortune , began a new round of layoffs on tuesday as part of a companywide restructuring that will result in the loss of about 500 jobs , according to a person briefed on the matter .
“ these acquisitions establish time inc . ’s position in a youth sports space that now consists of approximately 30 million american athletes aged 5 to 17 , ” said joe ripp , ceo of time inc . “ i know firsthand how team sports can empower children and teens . it is also a source of pride to older participants , whether they ' re involved as parents , coaches or provide moral support . youth sports are activities that touch one ' s entire life span and are a tremendous force of good in the lives of american families . ”
time is a leading book and magazine publisher with extensive cable television holdings , and warner is a major producer of movies and records and has a large cable - television operation . the merger would create a new company , time warner inc . , with a stock market value of $ 15 . 2 billion and revenue of $ 10 billion a year . a place in 1990 ' s
time inc gives more than 20 magazines to the readers in us , in addition to 50 corresponding sites over the internet . apart from the most popular time , and many other titles of magazines already mentioned , its subsidiary , essence communications , publishes the essence magazine . the ipc group limited has become the top publisher of magazines in the uk with look and now . it used to give 15 % of the total revenue for time , but had spun off as a separate company in 2014 .
people and hellogiggles have partnered to bring custom integrated advertising packages to market . hellogiggles’ authentic and trusted voice , highly - engaged audience and scalable contributor network , together with the power of time inc . ’s multimedia capabilities , will allow it to expand into other areas of content and media .
last fall , it acquired zooey deschanel’s hellogiggles lifestyle website aimed at millennial women and jane pratt’s xojane and xovain sites . other time inc . acquisitions include invnt , a company that specializes in live media , and fansided , a sports , entertainment and lifestyle network of more than 300 websites .
time inc — iconic as it is — is no different . today , the company reported a big drop in revenues for the quarter and full year , as well as a drop in net income for the quarter and swing to a net loss of $ 881 million for the full year .
had time inc . stayed independent , it would surely have struggled to put together a viable online strategy . the declining fortunes of other newspaper and magazine publishers , condé nast included , demonstrate some of the problems it would have faced . but with immensely popular titles like people , instyle , and sports illustrated as part of its product line - up , time inc . would have been better placed than most of its competitors to make the transition to digital . even its more venerable titles , such as time and fortune , are market leaders . although time ’ s circulation has declined substantially , the drop off isn’t as big as some people think . ten years ago , the paid circulation was 4 . 1 million . in 2011 , it was 3 . 3 million . that’s still a lot of readers .
layoffs are expected across all of time’s brands , but american express publishing , which time bought last year , appears to have been particularly hard hit . its chief executive , ed kelly , resigned as part of the changes .
that premium content attracts 150 million visitors each month to more than 60 websites . big - name consuer brands under time include people , sports illustrated , instyle , time , real simple , southern living , entertainment weekly and more .
time inc was founded in 1922 by henry luce , a chinese - born missionary’s son , and his high school and yale classmate briton hadden . the magazine started publishing in 1923 ; for 1927 , the aviator charles lindbergh was named as its first man ( now person ) of the year , giving birth to what would arguably become its most recognizable feature . in 1936 , luce bought life magazine and turned that little known title into a publication focused on photojournalism . business boomed , the company’s legendary midtown manhattan headquarters , the time - life building , opened in 1959 , and in 1964 , time inc commenced trading on the new york stock exchange ( it had previously traded on the over - the - counter market ) .
in 1995 , time bought out turner broadcasting system , the owner of cnn , which was controlled by the billionaire ted turner . the $ 7 . 5 billion deal was also transformative , catapulting time warner above disney in terms of annual revenue , the new york times reported . but those transactions were small - time compared with what came next .
the biggest winners from this endless financial engineering ? probably not shareholders , or its employees—time inc’s many journalists are certainly facing an uncertain future . the real winners , as usual in m & a , are the bankers and lawyers . if the various offshoots of time are finally finished with their dealmaking then it would truly represent the end of an era for wall street as well . they will have to find a new meal ticket .
as a public company , projections for new york - based time inc . ' s enterprise value - - or the sum of its equity and debt minus cash - - range from $ 2 . 7 billion to about $ 4 . 9 billion , according to six analysts ' estimates compiled by bloomberg in july .
hellogiggles ' other investors included bdmi fund , former nastygal chief operating officer deborah bento and former time digital president fran hauser .
time warner cable : america’s second biggest cable tv operator , which is in the process of being taken over by comcast .
time magazine is coming full circle . this friday ( june 6 ) its publisher , time inc , is expected to begin trading on the new york stock exchange as a standalone company , returning to the status it held for more than a quarter century between 1964 and 1990 . it is the latest in a long list of corporate transactions that the owner of one of america’s first weekly magazines has been involved in since it was founded in the 1920s .
) - - time inc . ( nyse : time ) today announced the acquisition of hellogiggles , a mobile and social - first millennial women’s brand covering pop culture , relationships , beauty , fashion and other lifestyle categories from a positive point of view . the site , co - founded by zooey deschanel , sophia rivka rossi and molly mcaleer in 2011 , reaches more than 17 million monthly unique visitors * and has seen rapid growth in traffic . since mid - 2015 ,
time inc . announced today that it has acquired stylefeeder , a personal shopping engine that uses pattern recognition technology and its members’ style preferences to make recommendations for clothing , shoes and accessories from thousands of online retailers . stylefeeder will become part of the instyle family of brands and its e - commerce technology will power shopping on instyle . com .
“we had been doing a capital raise , an equity round , ” he said . “we were looking at both private equity and strategic investors because we wanted to put more capital to work to grow the business . at the last minute we made the decision to go with time inc because of the benefits that a strategic brings to the table . i
time ' s chairman , j . richard munro , said the new company would seek to grow even larger by acquiring other businesses .
obviously , there’s no definitive answer to these questions . when magazine advertising collapsed in the recession of 2008–2009 , time warner’s vast resources helped cushion the blow to time inc . but the scale and synergy benefits touted by munro , nicholas , and levin rarely materialized . the skeptics who warned that publishing magazines is a very different business from making films and television shows turned out to be right . to be sure , warner brothers and hbo may sometimes be interested in buying stories from time ’ s journalists , say , and turning them into shows or movies—but the two sides can transact such deals just as well , or better , as independent entities .
1980s brian o’reilly , longtime writer and editor at fortune : “i used to commute to new york from the princeton region with a writer from time magazine , back in the early 1980s . back in those days , time inc . would let you just turn in the little tab at the bottom of a restaurant bill , the area that was perforated and you could tear off . you could write in any amount , and they ' d accept it . when the company finally cracked down on that , this writer friend from time told me he had to take his daughter out of private school and send her to the local high school . ”
time has long been known for a staid corporate style , while warner under mr . ross has been known as more free - wheeling .
time warner ceo jeff bewkes answered one hanging question for his company — whether it might change its name now that it no longer includes time : it won’t . “the name time warner has a great heritage and stands for leadership as the world’s best storytelling company , as well as leadership in harnessing technology to enhance the accessibility and value of our content to consumers everywhere , ” he said in a memo to staff .
time had come under pressure to explore a sale after activist hedge fund jana partners unveiled a 5 percent stake in the company last august .
time inc . ' s portfolio has been relatively steady lately but from 2006 through 2009 the company was more likely to sell or close publications than to acquire them . it sold 18 magazines , including popular science and field & stream , to bonnier in 2007 , and closed titles such as southern accents , teen people , si latino and cottage living amid a variety of challenges .
ironically , time warner ceo gerry levin’s prediction that the internet would “unleash immense possibilities for economic growth , human understanding and creative expression , ” proved accurate . it’s just that other companies like google and facebook , not aol - time warner , were the ones that managed to exploit it .
joining time inc . is an amazing opportunity to grow our brand and expand our message , ” commented rossi . “ becoming a part of the iconic people and entertainment weekly family is an extremely exciting step for us . together we will strengthen our connection to an engaged community of women and be well - positioned to build a truly 360 lifestyle content brand for the millennial generation . ”
time plans to combine viant’s business with its own , creating a big data , ad targeting powerhouse . specifically , time says it will “merge its premium content , subscriber data , and advertising inventory with viant’s first party data and programmatic capabilities to bring substantial value to customers of both platforms . ”
for much of the twentieth century—the american century , as time’s founder , henry luce , dubbed it—time inc . was the world’s most successful and powerful publishing company , and its employees were the among the most richly rewarded . the pay was good , but the perks were legendary . now in the middle of laying off 600 of its 7 , 000 u . s . employees , after firing hundreds more in the last few years , it ' s cutting back those lavish expense accounts . here , some memories of the way things were .
the publisher of time , people and sports illustrated is asking suitors to submit offers by next week . the company rejected a buyout offer last year .
time warner’s decision to cleave its struggling magazine business from its more lucrative television and film assets makes it one of several media companies pursuing such a move .
“ we believe time inc . can bring greater value to this growing segment and provide a more rewarding experience to its passionate audiences , ” ripp continued . “ this opportunity represents a natural extension of the trusted sports illustrated brand . it was developed internally by george linardos , an involved youth sports dad , who conceived the idea for sports illustrated play and was a driving force behind the acquisitions and business plan .
mr . ripp’s letter also mentioned the possibility that time would leave its headquarters in the time life building in midtown and search for cheaper space in lower manhattan . “we’re exploring our real estate options to find a work space that allows us to operate more efficiently with a greater sense of community , ” mr . ripp wrote .
the group , which also included ynon kreiz , had been among the parties that had expressed interest in buying the publisher of time , sports illustrated and people magazines .
terms of the deals weren’t disclosed . the media company will merge content from / drive ( pronounced “slash drive” ) and fld with thedrive . com , the automotive industry and lifestyle site time inc . ’s the foundry division launched in september 2015 . the teams from the three brands also will collaborate on new programming for distribution across the network , as well as through linear tv , over - the - top , mobile and emerging digital platforms .
when luce died in 1967 , his time inc . stock was reportedly worth $ 109 million . he had built what the new york times described as “the most important publishing empire of the middle twentieth century” . the empire building continued after his passing . in the 1970s , time was experimenting with media businesses beyond magazines and agreed to financially back a young entrepreneur , chuck dolan , who was developing a pay - tv service delivered over cable wires . in 1972 , dolan and time launched home box office in wilkes - barre , pennsylvania . in 1975 , hbo broadcast the”thrilla in manilla” , a boxing fight between muhammad ali and joe frazier , across the us via satellite . today , hbo is a premium channel with more than 100 million global subscribers and nearly $ 5 billion in annual revenue .
the 1980s were years of notorious corporate excess . so it’s hardly surprising that in that era , time inc agreed to merge with warner communications to create what was then the world’s largest media conglomerate , with a market value of $ 15 billion and annual revenue of $ 10 billion . warner owned one of hollywood’s historic film studios , warner bros , as well as a record label and some cable tv systems , and the deal positioned the new company to take on against increasingly integrated european and japanese rivals . “this is not a transaction done for the purposes of 1989 , or even the nineteen - nineties , ” richard munro , time’s chairman said at the time ( as the new yorker’s john cassidy recalled last year ) . “it is for us to be positioned for the next century . ”
warner owns warner bros . , a major film producer , and a large record company , a major paperback book publisher and cable - television systems . time board members applaud
as the internet revolution progressed , the interests of individual magazines were sometimes subjugated to the broader goals of the parent company—or so it seemed from the outside . during the formative years of the nineteen - nineties , the major publications were lumped together inside pathfinder , the ill - fated time warner portal—a decision that meant they were slow to develop independent online brands . even after levin left , this sort of thing continued . the online arms of money and fortune were subsumed within cnnmoney . com . viewed from time warner’s executive suite , such a strategy made sense : cnnmoney turned into a big success—it now bills itself as the world’s largest financial - news web site , and , presumably , it makes quite a bit of money . but how much of that revenue has been turned around and invested in the individual magazines and their own online brands ? for quite a while now , bewkes and his colleagues on time warner’s board have appeared to be primarily interested in cutting costs at time inc . , so its lagging performance wouldn’t drag down the parent company’s stock price . and it certainly hasn’t . since early 2010 , time warner’s shares have doubled .
bodell was rumored to be on the way out for weeks but only last week had insisted to the post that he expected to have a long and happy career at time .
circulation revenue , which accounts for nearly 30 percent of time ' s total revenue , fell 12 . 3 percent to $ 207 million in the second quarter ended june 30 .
mr . ripp called the layoffs “painful” and said they were a necessary response to new financial realities . five hundred jobs represent about 6 percent of time’s 7 , 800 workers worldwide .
in 2000 , right at the peak of the tech bubble , time agreed to merge with internet company aol in a deal worth an astonishing $ 350 billion . it remains the biggest m & a deal in history , and inarguably one of the worst . at the time , proponents hailed the combination of new media and old as one that could dominate the internet for years to come . but it was ultimately a disaster that cost billions of dollars in shareholder value and resulted in time warner being embroiled in regulatory investigations into aol’s accounting policies .
viant , on the other hand , is a profitable operation and has been for the past decade , says tim vanderhook , viant’s ceo . the company also had a relatively small list of investors : it raised $ 10 million in 2006 from enterprise partners and shepherd ventures , but a private equity round that it took after that has all been repaid to those backers . vanderhook tells us that viant was in the process of fundraising when it decided to go with a time inc acquisition .
ceo joe ripp told staffers in a memo today that “we face strong headwinds in this business . but when i returned to time inc . nine months ago , i said i believed this company could do incredible things . i remember the company that shaped the agenda for the nation . i remember the company that started hbo and revolutionized the way the country consumed video content . i remember the company that became the largest and most successful publishing company on earth . we are still that company . ”
“this acquisition is game changing for us , ” said time inc . chairman and ceo joe ripp in a statement . “marketers are selecting media partners that have either data - driven capabilities or premium content ; we will be able to deliver both in a single platform , and will stand apart from those that offer just one or the other . in other words , we will be able to deliver advertisers’ messages targeted to optimal audiences across all types of devices , along with the ability to measure roi . ”
about the only ones who consistently benefitted from time inc . ’s transformation into part of a multimedia conglomerate were the bankers and lawyers who put the deals together . doubtless , they’ll make a bit more money organizing the firm’s i . p . o . , which is expected to take place later this year or early next year . no surprise there . investment banking has long been a more lucrative business than publishing . but at least luce and hadden’s heirs will be getting back to what they know best .
twenty - four years ago this week , i went to the time & life building , at rockefeller center , and took the elevator to the wood - panelled thirty - fourth floor . there , i interviewed n . j . ( nick ) nicholas , jr . , who was time inc . ’s president , and gerald levin , who was then nicholas’s little - known sidekick . a few days earlier , the two of them had agreed to merge the publishing company , co - founded by henry luce and briton hadden , with warner communications , the hollywood entertainment company that was controlled by steve ross , a street - smart new yorker who made his first fortune operating funeral parlors and parking garages .
just two years after the disastrous transaction was consummated , time warner sought to distance itself from the internet service provider , ditching aol from its official name and even reverting to its earlier stock trading symbol ( twx , which it retains to this day ) . in 2008 , it decided to spin off time warner cable , which had basically become an infrastructure business ( owning pipes that deliver cable tv and broadband ) with very different capital needs . the spin - off deal netted time warner $ 9 . 25 billion . in 2009 , time warner decided to wash its hands of aol altogether , spinning off the business into a separate entity . today , aol owns websites like the huffington post , techcrunch and endagaget , but it still makes most of its money out of dialup internet .
time , comcast , disney and other big media companies have spent the last couple of years scooping up parts of or the entirety of smaller online rivals to benefit from their fast - paced growth .
time ceo rich battista told reuters in april that the company was
definitely
not up for sale after reports that the company had been in discussions with meredith corp . about a potential sale .
time also announced a cost - cutting plan on tuesday , targeting adjusted operating income before depreciation and amortization of at least $ 500 million to $ 600 million in the next three to four years .
although small compared to its parent company , time inc . remains a behemoth in the publishing world , sucking up more than one advertising dollar of every five spent on magazines . in terms of revenue , three of its titles— people , sports illustrated , and time —are in the top five nationally , according to a recent study . and for all its recent problems , the business still produces a lot of cash . in 2012 , it generated an adjusted operating income of four hundred and sixty - three million dollars , on revenues of 3 . 4 billion dollars . to be sure , that was much less than the operating profit of about nine hundred million dollars that the firm made at its peak , but it ain’t chump change .
time reported a loss of $ 44 million , or 44 cents per share in the second quarter , compared with a profit of $ 18 million , or 79 cents per share , a year earlier .
“ with its passionate , highly - engaged audience and quality editorial voice , hellogiggles is a great fit for our entertainment portfolio , which includes people and entertainment weekly , ” said time inc . chairman and ceo joe ripp . “ we see the opportunity for hellogiggles to continue to evolve and grow as a multimedia content business . the site provides strategic benefits including a contributor network that unlocks access to a new pool of editorial and creative talent , an expansive audience of highly - engaged consumers and experience in branded and native content solutions . ”
when time inc . regains its independence , it will be able to set its own budgets and issue bonds to finance investment and acquisitions . ( that’s assuming time warner doesn’t weigh down its balance sheet with tons of debt , which would be counterproductive . there has been speculation that they that they might do just that , burdening the company with as much as a billion dollars in debt , which would be more than its yearly revenue . ) it will have a leadership team with but one priority , owners ( stockholders ) with realistic expectations , and it will also have precedent on its side . the spin offs of time warner cable and aol have worked out pretty well . will it ever return to the days of luce , or even those of dick munro and nick nicholas ? almost certainly not . but it should have a fighting chance of success , and it will control its own destiny , something that hasn’t been true since the merger with warner .
new york - based time has struggled to boost magazine subscriptions and advertising revenue as more people move online for news and entertainment and advertisers shift away from print media to digital platforms such as google and facebook .
time warner’s empire remains vast : it has a market value north of $ 62 billion and owns some of the world’s best media assets , including cnn and hbo—and the pay - tv home of “game of thrones” might well be undervalued , as investors are only just now getting access to its financials . but the spin - off of time surely brings a multi - decade period of empire creation and dissolution to a close .
under the proposal , each share of warner communications would be exchanged for 0 . 465 share of time , with an indicated market value of $ 50 . 74 , based on time ' s closing stock price of $ 109 . 125 a share on friday . warner shares were very active in new york stock exchange trading thursday and friday , rising $ 2 . 875 in the two sessions , to $ 45 . 875 .
time inc . has been extending the people and entertainment weekly brands to young women and millennials . in january 2015 , people was one of 11 media brands selected by snapchat to participate in the launch of its discover platform . since 2014 , people has been the exclusive publishing partner with poshly , a premier data and insights platform with a mission to build personalization technologies that connect beauty brands with beauty consumers in innovative , data - driven ways . in july 2015 , people and entertainment weekly sponsored vidcon’s three - day “creator track” interview stage featuring youtube personalities and content creators .