Mr. Sherman, president of AOL Interactive Marketing and an ad sales veteran, was lured out of retirement last year by Bob Pittman, AOL Time Warner's former chief operating officer.
Mr. Sherman, a former Time Warner Cable
Two possible successors
No replacement has been named, but a search is on for his successor. There are two likely internal candidates: Lon Otremba, executive vice president for strategic planning and operations and Mr. Sherman's right-hand man; and Lisa Brown, who was tapped by AOL CEO Jon Miller late last year as executive vice president for interactive marketing. There are no known outside candidates.
"Since joining AOL as head of our advertising sales efforts a year ago, Bob has brought a much needed client and agency focus to AOL. He made AOL easier to do business with by improving internal processes, creating market pricing, and meeting advertiser demands for rich media and standard add units," Mr. Miller said in an internal memo to employees.
AOL faces ongoing investigations into its ad sales activities by the U.S. Department of Justice and the Securities and Exchange Commission.