• by Wayne Friedman , December 20, 2007

On the verge of closing its $8.2 billion buyout deal, Tribune Co. announced that its chairman/CEO Dennis FitzSimons will leave the company at the end of this year.

FitzSimons' departure had been expected since real-estate magnate Sam Zell agreed, with other partners in April, to take Tribune private. FitzSimons will leave Tribune with more than $32 million in severance and stock holdings, based on an analysis of corporate disclosure statements filed by the company.

FitzSimons--a 25-year veteran of the company--sent an email to Tribune company employees saying it was the right time for a transition.

Tribune owns nine daily newspapers, 23 television stations and the Chicago Cubs baseball team, which it has agreed to sell under terms set by Zell.

Early in the day, there was some initial nervousness among investors that the Zell deal might hit a financial snag. But after FitzSimons' announcement was made, investors assumed the deal was on the right track and pushed up Tribune shares--closing at $33.07, 0.72% higher on the day.