Having heatedly taken issue with recent ratings downgrades by both Moody’s and Standard & Poor’s, Houghton Mifflin Harcourt parent company Education Media & Publishing is talking to its primary lenders–who hold $4.3 billion in debt–about renegotiating the terms to loosen the multiples in their covenants. As the FT reports, the notes currently require that EMP’s debt be no more than 8.75 times ebidta by March 31. The company seeks to raise that multiple to 9.95 times earnings, and wants to raise the March 2010 target from 6.5 times ebitda to a 7.45 multiple. Lenders are being offered a small fee […]
Finance
Layoffs At National Geographic
National Geographic eliminated nine jobs in their book division last week “as part of the organization’s response to the evolving marketplace.” Among those leaving are publisher Kevin Mulroy, director of photography books Leah Bendavid-Val, and director of travel publishing Symmie Newhouse. As part of the reorganization, Barbara Brownell Grogan was named vp and editor-in-chief for adult books. And Melina Bellows has been promoted to evp of Children’s Publishing. VP of children’s books Nancy Feresten will report to Bellows, who in turn reports to National Geographic Publishing president John Griffin. VP for communications MJ Jacobsen tells us “the move was a […]
Readers Digest to End Two Weekly Reader Properties
In Reader’s Digest’s Weekly Reader Publishing Group, the company is exiting two businesses that serve the library market. Their World Almanac Education Library Services “will close by the end of this fiscal year.” Gareth Stevens Publishing is being offered for sale through Broadwater & Associates. The two businesses formerly were part of WRC Media, a company that was integrated into Reader’s Digest in 2007 when it was acquired by investors led by Ripplewood Holdings.
More Borders Cuts: 742 Store Managers and Supervisors Nationwide
Borders is cutting “less than 3 percent” of their in-store workforce across the country, eliminating 679 jobs at their superstores, mostly by “reducing the number of manager and supervisor positions.” They note that “no changes were made at the general manager level–the top position in each store–but in the majority of Borders locations, one or two other leadership positions, such as sales managers, inventory managers, training supervisors and merchandise supervisors, were eliminated as the company resets its superstore management structure to correspond to sales volume on a store-by-store basis.” Similar changes to manager and supervision positions at Waldenbooks are eliminating […]
Weisbach Launches Management Company, and Much More
Rob Weisbach is starting a “new generation management company,” Rob Weisbach Creative Management, designed to “re-conceive the traditional literary agency as a cross-training development company–one that will work with new and established talent on all aspects of career building. Weisbach represented Norman Ollestad’s CRAZY FOR THE STORM last July. At the time he expressed little interest in serving as a full-time agent, but he explains that his new venture “is broader in scope and service, allowing me to take significant advantage of my range of experience as an editor, publisher, promoter, and entertainment executive. I’ll get to work with both […]
Random House Buys Ten Speed Press
Random House announced their acquisition of previously independent Ten Speed Press. Ten Speed’s four imprints–Ten Speed Press, Celestial Arts, Crossing Press, and Tricycle Press–will operate as parts of the Crown Publishing Group. The unit will maintain its editorial, marketing, publicity, design, and production staff in Berkeley, CA. Founder Phil Wood, who started the company in 1971, will serve as publisher emeritus, but “a new reporting structure for Ten Speed Press will be announced in the coming weeks.” Ten Speed has an active backlist of over 1,000 titles, which they have self-distributed. Random House will officially take over distribution on May […]