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The parent company for IDW Publishing, IDW Media, is making some big changes behind the scenes. One of the biggest changes begins with cutting around 39% of IDW Publishing’s Parent Company’s workforce. According to the company, these changes are a response to the “operational challenges” that hinder future growth for the company.
The Future Of IDW Publishing
The workforce reduction will likely hit IDW Media’s biggest subsidiaries, IDW Entertainment and IDW Publishing. However, according to a statement from the parent company, this reduction and other changes will help in the long run. Specifically, it will “deliver approximately $4.4 million in annual savings”. Plus, the company expects a kickback of $0.9 million in severance and related costs for the current period.
Along with the reduction in employees, IDW Media has chosen to delist from the New York Stock Exchange and deregister its Class B common stock. The parent company feels this is “in the best interest of the Company and its stockholders.” Plus, this move would allow [IDW] to focus more resources on its recovery and growth plans”.
Even More Changes
Along with the loss of workforce and the Stock Exchange removal, IDW is shaking up several higher-up positions. Leaving the company are former Chief Financial Officer Brooke Feinstein and former Chief Executive Officer Allan Grafman. Grafman’s replacement is Davidi Jonas, the company’s Executive Chairman and Vice Chairman of the Board.
In a statement about the changes, IDW’s Chairman Howard Jones praised Grafman’s industry expertise and work at IDW. However, “with the need to make pivotal changes to preserve value…the Company feels a new CEO with new ideas” would be a better fit.
In a similar statement, Davidi Jonas shared his gratitude for the “confidence being placed in [him].” He said, “I feel an overwhelming sense of excitement and more than a little trepidation as I face the challenges before us. Our Board is taking bold action to address the challenges facing the Company and I share their view that alacrity is called for. My trepidation comes from the magnitude of the task ahead and my determination to do everything possible to unlock and create the value for our stockholders that they deserve.”
Only time will tell if this workforce reduction and changes will impact IDW Publishing and comic production.