Document:

Exhibit

September 12, 2016

Joseph A. Ripp 
Time Inc.
225 Liberty Street 
New York, New York 10281

Dear Joe:

You have agreed to assist the company with a transition of your duties as Chief Executive Officer to Rich Battista and to remain as an employee of the company in furtherance of that transition, including enabling the company to avail itself of your knowledge, leadership and experience, all as more fully described herein.  The following sets forth the terms and conditions of your continued role with Time Inc.  These terms will be reflected in a formal amendment to your current employment agreement with the company.

Effective as of September 12, 2016, you will no longer serve as Chief Executive Officer, and Rich Battista will become Chief Executive Officer  You will continue as an employee of the company, with such duties and responsibilities as shall be specified by the Board, until September 30, 2018 (the “Retirement Date”), at which point you will retire from employment.  In connection with your retirement, you will receive the benefits that are otherwise payable to you under the company’s benefit plans and programs based on your service with the company through your last date of employment.

You will serve as a director of the Board and as Executive Chairman of the Board of Directors until the next annual meeting of the company’s shareholders or such longer period as may be mutually agreed by you and the Board.  Consistent with the directions of the Board, you shall take such actions as are necessary or appropriate to facilitate the transfer of your duties and responsibilities as Chief Executive Officer to Rich Battista, including being available to consult with him regarding such matters as he shall reasonably request.  As the Executive Chairman, you shall preside over meetings of the Board and participate with management and the Lead Director in the development of the agenda for Board meetings, and you will be available to provide counsel to the Board as it shall request from time to time.  Without limiting the foregoing, the Board may specifically allocate responsibilities of the Board between you, the Lead Director and other members of the Board, including, without limitation, responsibilities for risk management, succession planning and strategic planning.  During your tenure as Executive Chairman, the Company shall make available to you an office at an agreed location and the services of an administrative assistant.  To the extent she continues to be employed by the company, such administrative assistant shall be your current assistant.  

During your continued employment, you will receive your currently effective base salary, and you will be eligible to receive an annual bonus payment for each of 2016, 2017 and the applicable portion of 2018 at the discretion of the Board, but subject to a minimum bonus (which shall be pro-rated for the partial year in 2018) of $1,420,000. To the extent permitted under the terms of such plans and applicable law, during your continued employment, you will continue to participate in the employee and executive benefit plans in which you are currently participating.   

You will not be eligible to receive any additional equity awards, and will not be eligible for any new plans, programs or arrangements otherwise made available after the date hereof to the Company’s other senior officers.  You  will remain subject to all of the covenants for the benefit of the company contained in Section 8 of your employment agreement, as well as a non-disparagement covenant comparable to that included in the agreements with the company’s other senior executives.

In the event that your employment is terminated by the company other than for Cause prior to the Retirement Date, in lieu of the severance or any other termination benefits that would otherwise have been payable under your employment agreement, you will receive, on the same schedule (except as otherwise required to comply with the requirements of Section 409A), the same compensation (including credit toward vesting in your outstanding equity awards, but without waiver of any performance condition) that you would have earned or received had you continued to be employed by the company through 

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the Retirement Date.  Cause shall mean cause as defined under your employment agreement, as well as your willfully and materially acting in a manner that is inconsistent with your Board assigned responsibilities and conflicts in a material way with the stated objectives of the Board.  In addition, if a Change in Control occurs prior to the Retirement Date and your employment is terminated for any reason other than your voluntary termination of employment or a termination by the company for Cause, you will become vested in (A) any portion of your Outperformance Plan awards as to which the performance conditions have been met and (B) any Make Whole Awards (as such term is defined in your employment agreement).  

If you agree that the foregoing reflects our understanding regarding your continued employment with Time Inc., including as Executive Chairman, please indicate your agreement by signing where indicated below.

Sincerely,

/s/ John Fahey

John Fahey
Lead Director, on behalf of the Board of Directors

_/s/ Joseph A. Ripp______________________________            __09___/__12___/__16___
Joseph A. Ripp                            Date

1002290102v9Exhibit

September 7, 2016

Richard Battista
95 Apple Tree Lane
New Canaan, CT 06840

Dear Rich,

We have discussed the possibility of your being offered and becoming President and Chief Executive Officer of Time Inc., subject to the parties reaching agreement on mutually acceptable terms.  

The following sets forth the terms and conditions which Time Inc. is prepared to provide in connection with your appointment to such position by action of the Board of Directors.  All of these terms and conditions are subject to the execution of a definitive employment agreement between you and the company.  Such agreement will have a three-year term, and will supersede your existing employment agreement with the company.  

As President and Chief Executive Officer, you would report directly to the Board of Directors and you will be the most senior operating executive of the company.  In connection with your appointment to such positions, effective upon the execution of your new employment agreement, the Board of Directors would elect you as a member of the Board of Directors, and the company will commit in your agreement to continue to nominate you for election to the Board during your continued tenure as President and Chief Executive Officer.  

		
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	Your annual base salary will be increased to be $1,200,000, effective upon signing the definitive employment agreement. 

		
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	You will be eligible to participate in the company’s annual incentive bonus plan, with a target bonus opportunity of 150% of base salary.  Bonus payments will be subject to the terms of our annual bonus plan, except as expressly set forth herein.  

		
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	Together with your annual base salary, this enhanced target bonus opportunity will provide you with a total target annual cash compensation opportunity of $3,000,000.  For 2016, your base salary and bonus percentage will be prorated such that your existing employment terms will apply for the period prior to the date of your new employment agreement is executed, and your new base salary and bonus percentage will apply for the period after such date.

		
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	You will be entitled to participate in our annual long-term equity award program with a target incentive value of $3,000,000.  The annual equity awards would be made 50% in performance share units for 2017, and somewhere between 50% and 66.7% in performance share units as determined by the Compensation Committee for subsequent years, with the remainder of the grant value divided approximately equally between stock options and restricted stock unit awards and subject only to time vesting.  Consistent with generally applicable practices, actual grants will be determined by the Compensation Committee based on this target, subject to adjustment to reflect your performance and that of the company, including its share price and such other factors as the Compensation Committee shall deem pertinent.  Your enhanced annual equity awards will be made at the same time as grants are generally made to other executives (generally in February of each calendar year), and subject to standard equity plan vesting and other terms, except as expressly set forth herein.  

		
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	With respect to the 2017 opportunity, one half of your annual award will be granted at the same time as the 2016 Special Grant described below (the “Accelerated 2017 Grant”).  The Accelerated 2017 Grant will be comprised of options in respect of 200,000 shares, with an exercise price equal to the fair market value of the stock on the date of grant, and that number of restricted stock units having a value at the date of grant of $750,000.  Each 

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component of the Accelerated 2017 Grant will be subject to our standard equity plan vesting and other terms, except as expressly set forth herein.

		
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	You will receive a one-time special equity award as soon as practicable following execution of your new employment agreement (the “2016 Special Grant”).  The 2016 Special Grant will be comprised of options in respect of 200,000 shares, with an exercise price equal to the fair market value of a share on the date of grant, and that number of restricted stock units having value at the date of grant of $750,000.  Each component of the 2016 Special Grant will be subject to our standard equity plan vesting and other terms, except as expressly set forth herein. 

		
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	You will be granted an additional Outperformance Plan (“OPP”) opportunity of $3,000,000 at target (target defined as $22/share of Time Inc. stock price) to bring your total target OPP to $5,000,000.  Except as otherwise provided below, this additional $3,000,000 opportunity (the “Incremental OPP Opportunity”) will be subject to and substantially consistent with the company’s standard grant practices with respect to the OPP as denoted in your current award agreements except as set forth herein.  The terms of your previously granted opportunity under the OPP will remain unchanged.

		
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	Notwithstanding the company’s standard practices, vesting of the 2016 Special Grant and the Accelerated 2017 Grant will accelerate in full and vesting of the Incremental OPP Opportunity will accelerate to the extent that the stock price performance hurdles are achieved, in each case, upon the occurrence of a change in control as defined under the company’s applicable equity incentive plan (a “Change in Control”).

		
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	In the event that your employment is involuntarily terminated by the company without cause or by you due to a material breach of your agreement by the company or other good reasons (a “Qualifying Termination”), you will receive severance equal to the salary and bonus that you would have received had you continued to work for an additional 24 months.  In the event of a Qualifying Termination prior to the payment of your annual bonus for your services in 2018 (which will be payable on or before March 15, 2019), the bonus component of your severance would be determined based on your target annual bonus opportunity, in lieu of applying your “average actual bonus.”  Such average actual bonus will apply to any such Qualifying Termination occurring after payment of the 2018 annual bonus.  Your severance benefits will not be subject to any duty to mitigate damages or (except as provided in the next bullet) any offset in respect of amounts earned from other activities following your termination.

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	As an additional severance benefit, in the event of any Qualifying Termination, the company will either pay your cost of COBRA coverage or reimburse you for such COBRA coverage for you and your eligible dependents any period that you are eligible to elect such coverage by reason of such Qualifying Termination (e.g., such benefit will cease if you become eligible for coverage by reason of employment under another group health plan). 

		
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	Notwithstanding the payment provisions applicable to severance contained in the company’s standard employment agreement, to the extent consistent with the requirements of Section 409A, in the event that you suffer a Qualifying Termination within 12 months following a Change in Control, the severance benefits payable under your employment agreement will be payable to you in a single lump sum.  In any other circumstances, the standard payment provisions will apply.

		
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	Additionally, in the event of a Qualifying Termination, you will be permitted to vest in the 2016 Special Grant, the 2017 Accelerated Grant and any other equity award granted after 2016 to the same extent, and at the same time, as you would otherwise have become vested in any such award had your employment continued for the 24-month period following your termination (including, in the case of any award the vesting of which is subject to the satisfaction of any performance objectives, the satisfaction of the applicable performance objectives).  If you incur a Qualifying Termination prior to the conclusion of the applicable measurement date of the Incremental OPP Opportunity, you will become vested in the Incremental OPP Opportunity to the same extent as though you were employed at such measurement date.

		
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	Recognizing that the change in your position and the associated increase in your contingent award opportunities resulting therefrom is reasonably likely to result in a significant short-term disparity between your historical compensation and your available compensation opportunities, in the event of a change in control of the company occurring prior to the second anniversary of the execution of your revised employment agreement (the “Second Anniversary Date”), the company will provide you with an excise tax gross-up related to any golden parachute excise tax that you incur by reason of such change in control.  In the event that any such change in control occurs after the Second Anniversary Date, you will be subject to a “best net” provision, such that your compensation will be limited to the amount that can be paid to you without the imposition of any such excise tax, if so doing will result in your receiving a better after tax result than if no such limitation were applied.  In no event shall any excise tax gross-up payment be provided with respect to any change in control occurring after the Second Anniversary Date.

		
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	The revised employment agreement will contain the same provisions regarding limitations on your ability to compete with the company during and following your employment that are reflected in your current employment agreement, and also will contain provisions giving you the right to be indemnified by the company (including without limitation the advance of expenses) to the maximum extent permissible for actions taken during your service for the company.  

		
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	You will be reimbursed for your legal fees and costs incurred in connection with the negotiation of the employment agreement and any other related agreements up to a maximum amount of $25,000 in the aggregate. 

 
If you indicate your agreement to accept the appointment as the company’s President and Chief Executive Officer on the terms and conditions outlined above (including without limitation subject to the execution of a mutually-approved definitive employment agreement), your appointment will be presented to the Board of Directors for approval.   

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I have great confidence that your leadership will create a mutually beneficial relationship for the company and its stockholders, customers and employees.  

Sincerely,

/s/ John Fahey

John Fahey 
Lead Independent Director

_/s/ Richard Battista_______________________________        __9_/_8_/_2016____
Richard Battista                            Date

cc.  David Bell

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