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Old 11-10-2004, 06:14 AM  
DVTimes
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Join Date: Jun 2003
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AOL to split business into four

AOL, the world's largest internet services provider, is to split itself into four separate divisions.
The firm, which is owned by media giant Time Warner, is carrying out the move to cut red tape and boost profits.

Three top executives will also leave the company, which has already announced plans to trim the workforce by about 4%, or 700 employees.

AOL has seen its number of subscribers shrink in recent years amid fierce competition in a crowded sector.

In 2003 the firm lost 2.2 million internet members, though Time Warner chief executive Richard Parsons said earlier this year that AOL had been "stabilised".

Separate quarters

AOL will be split into a four divisions called Access, Audience, Digital Services and AOL Europe.

Each will be responsible for making its own financial and operational decisions.

The executives leaving the firm are Lisa Hook, president of AOL Broadband, and J Mike Kelly, chairman and chief executive of AOL International.

Joe Rip, AOL vice chairman, will move to a management position in Time Warner.



http://news.bbc.co.uk/1/hi/business/3998287.stm
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