Joe Ripp's tenure as chief executive of Time Inc. ended Monday, but he will still be well-compensated by the company through the end of September 2018, until his "retirement date."
Mr. Ripp will stay with the company "to facilitate the transition of his duties, and to allow the company to have continued access to his knowledge, leadership, and experience," according to an SEC filing. (He will also serve as a board member, and executive chairman of the board, until the next shareholders meeting "or such later date as the parties mutually agree.")
For his services, Mr. Ripp will continue to receive his base salary, which for 2016 is $1,130,000, as of the end of March 2016. This year, next year, and for part of 2018, the veteran media executive will get an annual bonus, which will be decided by the board but can't be less than $1,420,000.
While handsomely paying Mr. Ripp to advise the company, Time Inc. will also be paying the man appointed to succeed him as CEO, Rich Battista. As part of a new three-year contract, Mr. Battista will receive an annual base salary of $1,200,000. Also, as part of the new deal, "his target annual incentive opportunity would increase to 150% of his annual base salary."
Time Inc. will also be paying Norman Pearlstine, who in July stepped down as the company's chief content officer, until July 17, 2017, according to an SEC filing this summer.
Mr. Pearlstine, who was succeeded by Fortune editor Alan Murray, has assumed a new role as vice chairman of Time Inc. As vice chairman, he will receive an annual salary of $250,000, though he won't be able to participate in Time Inc.'s annual incentive plan, which can be quite remunerative.
Time Inc., like most major media companies, is going through a period of restructuring and reorganization, both on the editorial side and the business side. In early August, the company announced that there would be "some job eliminations," with the precise number of cuts reported to be in the range of 110.
A Time Inc. spokeswoman did not respond to a request for comment.