Parsons
AOL Time Warner CEO Richard Parsons anticipates an initial public offering of Time Warner Cable as early as the second quarter and likely by late summer -- market conditions permitting.
The IPO push will start after AOL TW and Comcast close their deal to restructure Time Warner Entertainment at the end of March.
Debt to shrink
Speaking to investors at the Bear Stearns media conference in Palm Beach, Fla., this week, Parsons reiterated a commitment to reduce debt to $20 billion by the end of next year, by selling assets worth $2 billion-$4 billion. He mentioned Warner Books and the conglom's trio of Atlanta sports teams in particular.
AOL TW seems to be waffling on whether it wants to sell its half of Comedy Central. Viacom owns the other 50%. Parsons did acknowledge that it makes sense for the net to have one owner.
Doubts on Wall Street
Some Wall Streeters still question the debt reduction plans. "It will take more than the sports teams and the book division to get to the bottom end of the range of $2 billion," wrote CS First Boston analyst William Drewry. "The company may need to move on the 50%-owned cable nets and/or the music division."
AOL Time Warner will hold its annual shareholder meeting May 16 in Washington, D.C.
Contact the Variety newsroom at
news@variety.com