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Reader's Digest CEO Cleans House

Mary Berner, the new CEO of Reader's Digest Association, has gotten rid of three top execs. Gone are publisher Ben Madden, on the job for more than three years, and associate publisher Sean Flanagan, who signed up just six months ago.

Their departures follow the resignation of group publisher Denise Favorule last week. The moves are sowing fear and resentment. "She's introducing the Condé Nastie way to Reader's Digest," says an insider, noting she recently went to her old company for her first key hires at RDA.

Another sources says Madden and Flanagan had pushed for equity and job assurances that she wasn't prepared to give. Madden, who had been running the ad-sales side of the magazine, says he was surprised, "but it's one of those things. I gave them three-and-a-half years and delivered a lot of profit for them, but I have to close that chapter and move on."

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