Time Warner to Sell Magazine Business

Time Warner’s magazine unit does not have a long future with Time Warner, as the media giant is apparently on the way to selling its magazine business. This information comes from Gordon Crawford, managing director of the Capital Group and a shareholder in the company that insists that the news is correct.

According to Crawford, the company plans to sell its Time Inc. unit, which includes titles such as Time, Fortune, People, and Sports Illustrated in what Crawford sees as an attempt to emulate AOL. By shedding its print division, Time Warner would essentially rely on its television stations and other technology services to generate revenue.

Crawford, whose company owns 8 percent of Time Warner’s shares, made the comments at a discussion at the University of Southern California. Time Warner’s second-quarter net income was down 2 percent to $1.18 billion following a steep 53 percent decline in the income of its publishing segment.

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