• Folio, Thursday, February 19, 2009 9:45 AM

During a conference call Wednesday announcing Playboy's financial results, interim CEO Jerome Kern said the magazine is "open to discussions" about a sale and/or changes in its strategic direction.

Playboy reported a year-end net loss of $156.1 million in 2008, compared to a net gain of $4.9 million during 2007. The majority of that loss came during the fourth quarter, which saw profit drop $145.7 million, partly due to impairment and restructuring charges. "Our financial performance is not reflective of [Playboy's] potential," Kern says. In recent months the company has "accelerated the pace of expense reduction to bring our costs in line with market realities."

Kern stepped in as interim CEO in December after Christie Hefner, daughter of Hugh Hefner, announced plans to step down from the chief executive role by the end of January. Hefner received a $2 million severance payment upon her departure.

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