• by David Goetzl  @dgoetzl, June 8, 2007

Time Warner Chairman-CEO Richard Parsons said Thursday he's "getting close" to relinquishing his roles and deputy Jeff Bewkes is "the right man" to succeed him. In a London appearance before investors, a candid Parsons said he's near to completing the goals he set out when he became CEO five years ago, and expects to step down within the next year or two.

"We're getting close," he said, suggesting he won't sign another contract with the company when his current deal expires next year. "Some time within that time frame, I'll probably conclude that it's in sufficiently good shape, and I know it will be left in good hands," he said, referring to Bewkes, the president-COO. He then cautioned that Bewkes' ascension is not his decision. It will be decided by the board of directors.

Parsons said before leaving he would like to ensure that AOL is on a steady growth path and that Time Warner Cable meets the "challenges" of integrating its new acquisitions. He added that the Time Inc. unit is "well on the road to the digital transition in publishing."

When Parsons took the job, after Gerald Levin was forced out following a disastrous merger with AOL, he had modest goals. He said he wanted "to leave this company in good shape and in good hands, and that's still sort of where I am."

He said he's achieved that end, but he'd like to iron out AOL, TWC and publishing issues.

A smooth future for AOL could be assured as soon as December, said Parsons, who recently brought in former NBC Universal executive Randy Falco to run the unit, which is transitioning to an ad-supported content provider.

"By the end of this year, we're going to be in a place where we can make the call on AOL," he said. The issue is whether the company has found a path or business model that can "result in growth that can be sustained over time. I think we're in the right area--we're making all the right moves," he said, although he admits there are still issues to address. Parsons also wants AOL on firm footing so "we can put a multiple, put a terminal value on it, because it's going to be around for a while."

The healthy cable unit, where a portion recently went public, is expected to continue to acquire more systems. While Parsons said that may not happen during his tenure, he would like to make certain that TWC successfully blends systems acquired from Adelphia and Comcast into its operations. "You want to make sure cable is hitting on all eight cylinders," he said.

When Parsons does leave, he'll likely be credited with having righted a wayward ship--or having done what he could. The cable unit is prospering with the advent of the "triple play," in which it offers a bundle of TV, phone and Internet services. But the future of AOL and the Time Inc. publications are likely to remain uncertain due to market conditions.