Magazine giant Emap has announced today that group chief executive Tom Moloney has resigned after 26 years with the company and a search is underway for his replacement.
Non-executive chairman, Alun Cathcart, has been appointed interim executive chairman until a permanent appointment is made.
Moloney’s resignation, said to be a mutual agreement, comes after a turbulent time for the publishing house, which has announced profit warnings and massive job cuts since the start of the year.
The announcement of his departure, a matter of days before Emap presents its full-year results, set shares in the group soaring 7 per cent.
Although Moloney’s pay packet for the last financial year has yet to be disclosed, he earned £600,000 including bonuses in 2005/06. According to the group, his salary under a one-year rolling contract will be honoured.
Moloney was appointed chief executive of the company four years ago, after holding a number of roles within the group’s UK and US businesses.
His last year at the helm has been blighted by poor trading as the company suffered amid tough trading conditions in the consumer magazine and radio markets.
The group warned in February that full-year profits would come in at the bottom end of expectations, followed by an announcement in March that it would axe jobs and cut costs in an attempt to save £20m in the 2008/09 financial year.
Emap said earlier this year that underlying sales of its UK consumer magazines had fallen back by 2 per cent over the year to 31 March, with total underlying revenues set to fall by 2 per cent.