Middelhoff Resurfaces at New York Times as Ad Drought Bites

22 September 2003

Thomas Middelhoff, former Bertelsmann ceo, whose hi-tech expansionist ambitions brought him into terminal conflict last summer with the German media giant’s ultra-conservative controlling Mohn family, has resurfaced in the world of media.

It was announced last week that Middelhoff (50) has joined the board of The New York Times Company in addition to his day job of running the European corporate investment unit of Investcorp.

Says NYTC chairman Arthur Sulzberger Junior: “[Middlehoff’s] background and experience in the international media and Internet businesses will be extraordinarily useful as our company pursues its global ambitions via The International Herald Tribune and our digital enterprises.”

The hiring coincides with the group’s announcement that Q3 earnings will take a hit from the continued advertising drought. A statement revealed that earning per share for the quarter ended September 30 are expected to fall between $0.30 - $0.32, down year-on-year from $0.38 and well below analysts’ consensus of $0.39.

“The weak ad environment we saw in July continued throughout August,” bemoaned Leonard P Forman, senior vice president and chief financial officer.

Data sourced from: New York Times; additional content by WARC staff