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UPDATE 1-Time Inc in talks to sell assets; warns on Q3 ad revenue softness

(Adds details, background)

Sept 22 (Reuters) - Time Inc said on Friday it was looking to sell several assets, including Time Inc UK, and warned it experienced more-than-anticipated softness in both print and advertising revenue during the current quarter.

The publisher, which said in April that it would not sell itself, last month announced a fresh cost-cutting program, targeting $400 million in spending cuts.

The assets identified for sale include Time Customer Service and a majority stake in the Essence magazine, the company said in a regulatory filing on Friday. http://bit.ly/2xkudm5

The company estimated that the assets marked for divestiture represent about $488 million, or 17 percent of total revenues for the 12-months ended June 30.

A sale may be announced as early as the fourth quarter, the company said.

The New York-based publisher of Sports Illustrated, People and namesake Time said it experienced softness in both print and advertising revenue during the current quarter relative to the forecast issued during the second-quarter earnings call.

Time Inc, which reported a 17 percent fall in second quarter print and other advertising revenues, had said it expected sequential improvement in the third quarter ending Sept. 30.

The company's magazine circulation revenue fell 12 percent in the second quarter ended June 30 and its advertising revenue dipped about 12 percent, as more readers and advertisers shift to digital platforms.

The company said on Friday that it expected its cost savings and efficiency initiatives to offset the advertising softness.

Separately, the company said it received a subpoena from the U.S. Securities and Exchange Commission requiring it to provide documents relating to certain goodwill and asset impairments and some restructuring and severance costs.

(Reporting by Supantha Mukherjee and Aishwarya Venugopal in Bengaluru; Editing by Sriraj Kalluvila)