Time Warner reported its quarterly earnings and investors were very happy with what they heard on the post-earnings conference call.
Jeff Bewkes, in his first call as Time Warner chief executive, presented his restructuring plan. Time Warner stock gained as much as 3 percent during the day, ending up about 2 percent. Bewkes seems eager to make the kind of dramatic changes that his predecessor, CEO Richard Parsons, was reluctant to make.
One major focus: cost cutting. Bewkes says he'll slash corporate costs by 15 percent. He also singled out Time Warner's New Line movie studio, saying they'll be carefully examining ways to cut costs.
(With another studio, Warner Bros., it's safe to say there are redundancies at best. My personal prediction is that Time Warner could totally shut New Line down when one of the two men who run it leaves).