September 20, 2002, 1:15 PM — Despite widespread speculation that AOL Time Warner Inc. (AOLTW) Chairman Stephen Case could face a potential ousting at the company's board meeting Thursday, an AOLTW spokeswoman confirmed Friday that Case "is and will remain" the company chairman.
Case and AOLTW Chief Executive Officer (CEO) Richard Parsons "conducted a regular board meeting and Case was not on the agenda," said company spokeswoman Tricia Primrose.
All eyes turned to AOLTW's regularly scheduled board of directors meeting in New York Thursday after rumors circulated in the press that Case could take the fall for sluggish performance of the company's America Online Inc. (AOL) Internet unit. Case headed AOL before the number-one Internet service provider merged with Time Warner Inc. in January of 2001. Although the once high-flying AOL dominated the merged company's agenda at the offset, its subsequent poor performance has landed the Internet unit on the back burner in recent months.
Although the company has made moves recently to de-emphasize the new-media side of its business, reshuffling new-media executives, pundits claim that it is unlikely that Case will be forced out anytime soon, given that unseating him would require a three-quarters vote of the board.