Dow Jones Chief Said To Be Stepping Down

Posted by John Carney, Dec 06, 2007, 2:07pm

The offices of the Wall Street Journal have been swirling with rumors as the paper gets ready for Rupert Murdoch to officially take control of its parent company, Dow Jones, next week. One persistent rumor has it that the Journal is going to abandon it's downtown offices in the World Financial Center for a location in midtown. But perhaps the most talked about rumors have been possible changes in the executive suites of Dow Jones.

Now Newsweek is reporting that it looks like Dow Jones Chief Executive Richard Zannino is leaving. According to Newsweek, Mr. Z is expected to announce his resignation sometime this afternoon. The move is a bit surprising since Zannino reportedly helped spark Murdoch's campaign to purchase the company over a lunch last spring. So what happened?

"Murdoch apparently couldn't, or wouldn't, carve out a role to fit the ambitions of Zannino, a former fashion industry and retailing executive. But Zannino, the first nonjournalist ever at Dow Jones's helm, will exit with a severance package worth at least $30 million," Newsweek writes.

The rumor mill also says that Robert Thomson, editor of Murdoch-owned Times of London, may be named to replace Zannino.

Update: It's official. Here's the short and sweet official statement: "Dow Jones & Company (NYSE: DJ) announced today that Richard F. Zannino, chief executive officer, plans to leave the Company after the closing of the acquisition of Dow Jones by News Corporation (NYSE: NWS, NWS.A; ASX: NWS,)."

Update II: Journal now reporting on itself: News Corp. is expected to name News International executive chairman Les Hinton as CEO of Dow Jones, succeeding Rich Zannino, who announced his resignation earlier Thursday. Times of London editor Robert Thomson will become publisher of The Wall Street Journal."


Shakeup at Dow Jones [Newsweek]

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Comments

Posted by Matt, Dec 06, 2007 2:37PM

Come on guys. So few posts on a historic day when the US finally shed all pretences of being a free market and decided to take a headlong plunge into Zimbabwenomics, Mugabe Allocation Theory ((c) longorshortcapital.com) and Argentine Contract Law?

Posted by , Dec 06, 2007 2:43PM

Ron Paul 2008!

Posted by just me, Dec 06, 2007 2:46PM

Maybe now we can have have topless pics of the chicks from Hotel Babylon

Posted by Anominous, Dec 06, 2007 2:58PM

and so the WSJ begins its long slide into irrelevance.

Matt-

but the President said that the rescue plan does not represent the imposition of a government solution to the mortgage crisis! haven't you been paying attention?

seriously, it is amateur hour once again in DC. my boss's theory is that Paulson was never tested in a real crisis at GS and thus does not deserve the traditional GS seal of approval.

Posted by Anonymous, Dec 06, 2007 2:58PM

Not bad for Zannino... Last year, he promises the Bancrofts he'll increase Journal sales, big redesign, etc. Result was zip, so in desperation he sells out to a National Enquirer-style rotten fish peddler and gets $30M to keep his big mouth shut. Now get ready for Page 3, guys -- Rupert recently promised they'll have MBAs pasted over their titties!

Posted by , Dec 06, 2007 3:08PM

Seriously. First Rubin and Cozine and now Paulson. I dont know if the traditional seal of approval is really worth much any longer, assuming it hasn't already become a seal of disapproval.

Posted by Anonymous, Dec 06, 2007 3:11PM

Zannino knew what he was doing when he invited Murdoch. Those $30 million he'll put to good use.

Posted by matt the knife, Dec 06, 2007 3:13PM

Lighten up Matt. We all knew the US was a banana republic back in December of 2000. It's just getting funnier.

Posted by anon anon anon, Dec 06, 2007 3:22PM

What was the consideration for these contractual changes?

Posted by Bulging Braket, Dec 06, 2007 3:37PM

I will vote for Ron Paul.

Posted by slimjim, Dec 06, 2007 3:43PM

Ron Paul is a snake. He has no penis. Vote Hillary in 08 only she can protect us from the terrorists.

Posted by , Dec 06, 2007 3:45PM

rp has no penis so vote for hillary! hahahaha

Posted by The Magician, Dec 06, 2007 4:10PM

http://www.wikihow.com/Make-a-Quarter-Disappear

Posted by http://www.ronpaul2008.com, Dec 06, 2007 4:13PM

You are a looser if you don't vote for ron paul you friggen finance greedy people. i don't need a colege degree to knoe that ron paul is the best hope for america

Posted by AJ, Dec 06, 2007 4:17PM

"More than 30 percent of borrowers with subprime adjustable- rate mortgages are behind on their payments before their loans reset at a higher rate" - Credit Suisse

Come on Carney, where's a post on our genius president's new plan

Posted by Erotic Tangerines, Dec 06, 2007 4:50PM

Ron Paul wouldn't come up with a plan like this.

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