Condé Nast is looking to trim $20 million to $30 million in annual costs, sources say, as the company braces for a long-rumored reorganization in the ranks. Budgets are due to be submitted Friday. They already contain cuts, but sources say that may only serve as a starting point for the next round of belt-tightening.
“It’s no secret that [Chief Executive] Bob Sauerberg has been working on a reorg,” said one knowledgeable source. That reorganization is expected within 2½ weeks.
Women’s Wear Daily, the fashion trade, has helped fan the flames, with at least two stories on the topic in recent weeks outlining plans for the Newhouse-controlled publisher to go to a group publisher and category sales arrangement.