Zannino new head of Dow Jones, which publishes WSJ

Jan 4, 2006, 17:06 GMT

New York - Richard F. Zannino has been named new chief executive officer of Dow Jones & Co, which publishes the Wall Street Journal, Barron's and other financial media, according to reports Wednesday.

Zannino, 47, currently the publisher's chief operating officer, will replace Peter R. Kann, 63, February 1, Bloomberg financial news agency reported.

Kann and his wife, Karen Elliot House, 58, who is publisher of the Wall Street Journal, have been one of the media world's power couples. But she will leave the company after 32 years in her position under a mutual agreement with the firm, Bloomberg reported.

Kann, who headed the publishing house since 1991, will remain chairman until 2007.

Share prices for the company went up at least 8 per cent following the announcement, buoyed by the company's improved financial outlook.

Zannino joined Dow Jones in 2001 as chief financial officer following executive finance positions at clothing manufacturer Liz Claiborne Inc. and luxury department store Saks Fifth Avenue.

The company said it expected profits per share of up to 40 cents per share, higher than the 30 cents originally anticipated, for the fourth quarter of 2005, approximately five per cent higher than previously estimated.

The Wall Street Journal has suffered losses in advertising sales in the recent past, with the Internet as a new competitor for advertising dollars. However, the Bancroft family which owns the share majority of the publishing house does not seem to be interested in a sale, despite recent speculation on Wall Street.