• by Erik Sass , January 13, 2011

AMI Juggles Furloughs, Exec Bonuses

Fresh out of Chapter 11 bankruptcy protection, American Media Inc. announced that all employees must take a three-day, unpaid leave in the first quarter of the year. The furloughs, which affect everyone including the top ranks, come as the New York Post reports that company insiders are upset about plans to pay $2.5 million in bonuses to unspecified execs for their work getting the company through bankruptcy reorganization.

AMI, which publishes National Enquirer, Star, Men's Fitness and Muscle & Fitness, among others, exited bankruptcy protection at the end of December, after creditors took ownership of the company in exchange for debt forgiveness.

This plan, approved by Bankruptcy Court for the Southern District of New York, had the support of roughly 80% of AMI's unsecured bondholders as well as JPMorgan Chase Bank and other creditors.

Like other magazine publishers, AMI has taken its knocks during the recent economic downturn. From 2007-2010, according to the Publishers Information Bureau, ad pages declined 12.5% at the National Enquirer, from 903 to 791; 18% at Shape, from 1,548 to 1,270; and 28% at Men's Fitness, from 913 to 657.

SmartMoney Relaunches

January 11 saw the debut of a new, revamped SmartMoney, including a new design, editorial content from The Wall Street Journal, and two more sections (for a total of four). The four sections are "Invest;" "Pick," as in stocks; "Plan" for personal financial planning in areas including savings, insurance, and healthcare; and "Spend," on personal budgeting and consumer choices. This marks the mag's first issue under the sole control of the WSJ, following almost two decades as a joint publication of Dow Jones and Hearst Corp.

O, The Oprah Magazine Launches Sketchbook App

O, The Oprah Magazine is helping readers to express their creative side with a free iPad app called Sketchbook O. The app, produced by the magazine in collaboration with Autodesk, allows users to create digital paintings, drawings, sketches and doodles on the rich graphic interface of Apple's popular tablet computer.

Separately, the magazine announced that is has appointed Deena Schacter to the newly created position of style/sales development director. Schacter, who has worked at the magazine for four years, will continue to serve as O's director of fashion business, in addition to her new duties, which include the development and management of in-book projects, along with spearheading initiatives for the iPad edition.

Rodale promotes Promaulayko

Rodale has upped Michele Promaulayko to vice president/editor in chief of Women's Health. She has responsibility for all facets of the brand, including the magazine, Web site, iPhone applications, books and nine international editions. She was named EIC in January 2009. Under Promaulayko's leadership, the pub has seen the first-half 2010 single-copy sales up 10% and total paid circulation up 7%. Before joining Rodale, Promaulayko was executive editor of Cosmopolitan.

Source Interlink Launches 3-Month Mag Harmony

Source Interlink Media, which publishes Soap Opera Digest, has created a new newsstand magazine titled Harmony, dedicated to lifestyle issues including body, beauty, fitness, family, and food. The magazine will publish for three months, ending in March, with distribution at retail and supermarket venues including Wal-Mart, Kroger, Safeway and A&P.

Conde Nast Taps Jowdy, Drucker Mann

Conde Nast appointed Paul Jowdy vice president and publisher of Details, and Pamela Drucker Mann is moving from Glamour to serve as vice president and publisher of Bon Appétit (Jowdy's previous position).