Michaels Out at Tribune Co.
Departure ends 10-month reign of CEO who has been said to have fostered a "frat house" culture
Tribune Co. CEO Randy Michaels has resigned amid a backlash to reports of raunchy behavior at the media company.
Friday's resignation ends Michaels' 10-month reign as CEO. His departure lets the troubled media company focus on emerging from bankruptcy protection instead of dealing with the perception that its leader had fostered the sexist culture of a "frat house."
The company said Michaels will be replaced by a four-member "Executive Council" whose main task at this point is to stabilize the company as it struggles to emerge from bankruptcy.
"These appointment are designed to ensure a smooth, seamless transition of management responsibilities to a group of experienced executives who have a strong understanding of the company’s media businesses,” said Sam Zell, the chairman of the board, in a statement.
Tribune owns the Chicago Tribune, Los Angeles Times and 19 TV stations. It is preparing to file its latest plan to end a nearly
two-year stint under bankruptcy protection.
Last week, one of Michaels' top lieutenants resigned for sending out an internal memo with an Internet link to a racy video.
The New York Times focused on Michaels' bawdy management style in a front-page story published two weeks ago.
Published at 4:21 PM CST on Oct 22, 2010
Copyright Associated Press / NBC Chicago