NEW YORK--(BUSINESS WIRE)--Time Warner Inc. (NYSE:TWX) today announced that its Board of Directors

has authorized management to proceed with plans for the complete legal

and structural separation of Time Inc. from Time Warner. Following the

proposed transaction, Time baltimore county child support Inc. would be an independent, publicly traded

company. Time Warner aims to complete the proposed transaction by the

end of the calendar year.

Time Warner Chairman and Chief Executive Officer Jeff Bewkes said:

"After a thorough review of options, we believe that a separation will

better position both Time Warner and Time Inc. A complete spin-off of

Time Inc. provides strategic clarity for Time Warner Inc., enabling us

to focus entirely on our television networks and film and TV production

businesses, and improves our growth profile. Time Inc. will also benefit

from the flexibility and focus of being a stand-alone public company and

will now be able to attract a more natural stockholder base. As we saw

with the prior spin-offs of Time Warner Cable and AOL, we expect the

separation will create additional value for our stockholders."

Time Inc. CEO Laura Lang has advised Time Warner that she will stay on

through this process and until after a successor has been identified.

"Laura indicated to me that we should find a different kind of CEO for

this new public company, and I respect her decision," Bewkes said. "She

has been a great partner who has given Time Inc. forward momentum to

make this transition possible, and I look forward to working with her to

select the right leader to head the company as an independent entity."

After the proposed separation is completed, Time Inc. will continue its

mission as the leading multi-platform publishing and branded content

company, reaching nearly half of U.S. adults each month and millions of

consumers around the world.

The proposed transaction will be structured as tax-free to Time Warner

stockholders. The transaction is contingent on the satisfaction of a

number of conditions, including completion of the review process by the

Securities and Exchange Commission of required filings under applicable

securities regulations and the final approval of transaction terms by

Time Warner's Board of Directors.

Caution Concerning Forward-Looking Statements

This document includes forward-looking statements within the meaning of

the Private Securities Litigation Reform Act of 1995. Such

forward-looking statements include, but are not limited to, statements

about the plans, objectives, expectations and intentions of Time Warner,

including the benefits of the proposed separation of Time Inc. from Time

Warner, and other statements that are not historical facts. These

statements are based on the current expectations and beliefs of Time

Warner's management and are subject to uncertainty and changes in

circumstances. Time Warner cautions readers that any forward-looking

information is not a guarantee of future performance and that actual

results may vary materially from those expressed or implied by the

statements herein due to the conditions to the consummation of the

proposed separation of Time Inc. from Time Warner, and changes in

economic, business, competitive, technological, strategic and/or

regulatory factors, as well as other factors affecting the operation of

the other businesses of Time Warner and Time Inc.'s business. More

detailed information about these factors may be found in filings by Time

Warner with the Securities and Exchange Commission, including its most

recent Annual Report on Form 10-K in the sections entitled "Caution

Concerning Forward-Looking Statements" and "Risk Factors." Various other

factors could cause actual results to differ from those set forth in the

forward-looking statements, including, without limitation, the risk that

the anticipated benefits from the proposed separation may not be fully

realized or may take longer to realize than expected. Time Warner is

under no obligation to, and expressly disclaims any such obligation to,

update or alter its forward-looking statements, whether as a result of

new information, future events, or otherwise.

About Time Warner Inc.

Time Warner property division Inc., a global leader in media and entertainment with

businesses in television networks, film and TV entertainment and

publishing, uses its industry-leading operating scale and brands to

create, package and deliver high-quality content worldwide through

multiple distribution outlets.

About Time Inc.

Time Inc. is one of the largest branded media companies in the world.

The company's magazines reach more than 110 million Americans each

month, and its websites attract nearly 50 million unique visitors each

month. With influential brands such as TIME, PEOPLE, SPORTS ILLUSTRATED,

InStyle, and REAL SIMPLE, Time Inc. is home to celebrated events and

franchises including the FORTUNE 500, TIME 100, PEOPLE's Most Beautiful

and SPORTS ILLUSTRATED'S Sportsman of the Year.