Welte: "Integration in the Burda Style Group adds extra clout" – AMICA will be discontinued

Hubert Burda Media’s integration of several companies is creating in Munich one of the largest German media groups with journalistic content for women. Philipp Welte, board member of Burda publishing house, is incorporating the exclusive group brands BUNTE, ELLE, INSTYLE, FREUNDIN and BURDA MODEMAGAZIN with their respective brand extensions and the production company STARnetONE under one corporate umbrella. “We shouldn’t just react to the dynamic changes in the media world, we have to create scope for aggressive and innovative strategies”, is how Welte explains the merger of the publishing divisions. Welte: "The compact structure of the new company manifestly increases both advertising clout and innovativeness."

From May 1st , 2009 the newly-created Burda Style Group will be focusing its expertise on exclusive women’s magazines and creating one of the providers of fashion and entertainment media for women with the largest turnover and coverage. The new group’s magazines are aiming at a gross coverage of 8.90 million readers (MA 2009/I) and a circulation of over 2.38 million copies sold per issue (IVW annual average 2008).

Within the new company Patricia Riekel, Editor-in-chief of BUNTE and founder of INSTYLE Germany, will become additionally Editor of all the group’s titles. She will be reporting directly to board member Philipp Welte.

The Managing Director of the media group will be Henning Ecker, the previous MD of the Arabellastraße publishing house. The Publishing Director of the Burda People Group, Andrea Laub, is taking over the commercial running of the company as Director Finance & Operations. Monika Fendt, who is returning to the group as Director Marketing on May 1st will be responsible for positioning the magazines and marketing them in both markets (B2B, B2C).

The previous Managing Director of the Burda People Group, Peter Levetzow, will be implementing the merger along with Philipp Welte and Henning Ecker. After that he will be on hand to advise Philipp Welte. Philipp Welte: "Peter Levetzow has done excellent work in the last two years and ensured that the Burda People Group managed to clearly maintain its position as the publishing houses’ most successful profit center."

In the course of the merger of the publishing houses Burda will be withdrawing its exclusive magazine AMICA from the market, effective from the June 2009 issue (first day of issue: May 6th , 2009). This will not affect AMICA Online, a Tomorrow FOCUS AG brand. Board member Philipp Welte: "AMICA is one of the finest fashion magazines in the German market, the editorial team created a great magazine with an international hallmark. But the development of advertising markets leaves us no other choice but to shut it down."

Subject to talks with the works council it is expected that some 40 jobs will be cut across the board in the Burda Style Group’s divisions.

background information :

The foundation of the Burda Style Group is part of Hubert Burda Media’s “Change-Programme” and an integral part of the strategic “Integrate” project. Member of the board Philipp Welte initiated the “Change-Programme” for the publishing houses, marketing and distribution divisions with the three strategic dimensions Concentrate, Integrate, Innovate. The central aim is to steer the publishing division through the recession and in doing so orientate it to a convergent future in spite of the revenue crisis.