Chief executive Smith leaves Reed Elsevier

by Maisie McCabe, mediaweek.co.uk 11-Nov-09, 11:00

LONDON - Ian Smith, chief executive of Reed Elsevier, publisher of New Scientist and Farmers Weekly, has left the company after just 11 months.

The announcement came as Reed Elsevier released an interim management statement saying its business-to-business publishing division, RBI, continued to face "difficult trading conditions".

Reed Elsevier said the ad and promotion markets remained "particularly impacted by global recession", but its restructuring programmes were "on track to deliver the targeted cost savings".

Smith, a former chief executive of property developer Taylor Woodrow, joined Reed Elsevier in January. He will be replaced by Erik Engstrom, the chief executive of Elsevier.

Engstrom has been chief executive of Reed's science and health division, Elsevier, for five years and has more than 15 years' management experience, including stints at private equity firm General Atlantic Partners.

Reed Elsevier said RBI user revenue had held up relatively well, although it was behind last year. Divestment of controlled circulation magazines in the US and other print titles was in progress to "reposition the portfolio".

In its statement, Reed Elsevier said substantial costs were being taken out of the business-to-business division to "reflect the lower revenue environment" and further development would be "focused on online data and lead generation services".

Reed Elsevier initially planned to sell RBI to cut debt, but abandoned the idea last December and decided to sell a number of titles, primarily ad-funded publications in the US, instead.