Monday, Mar. 14, 1955

Changes at Hearst

In the top echelon of the Hearst empire there was a major shifting of bosses last week. After 15 years as general manager of the Hearst papers, J. D. Gorta-towsky, 69, gave up the job (though he will remain as titular Hearst chairman). To Harold G. Kern, 56, a Hearstling for 30 years, went the title of general manager. To 47-year-old William Randolph Hearst Jr., just back from a tour of Russia (TIME, Feb. 21), went a title that has been unused since his father's death in 1951: editor in chief.

To take some of the load off "Gorty" Gortatowsky, who rose to the top through editorial channels, Hearst directors had chosen a man from the business side. Boston-born Harold Kern joined the advertising department of Hearst's Boston American in the '20s. He worked for Hearst's national advertising office for several years, in 1938 was made publisher of Hearst's three Boston papers (Record, American and Sunday Advertiser). All three were limping along, with the American in the worst shape financially. Kern changed it to match the tabloid format of the Record, started a combination advertising rate for all three papers. By running them as a unit, he soon put the papers in the black, was rewarded by being made a permanent trustee of Hearst Sr.'s estate.

For Kern, said a colleague last week, "it's been a long, uphill pull. He kept his equilibrium, which is no small feat in the Hearst empire." As general manager of the newspapers, Kern will have a chance to communicate his sense of equilibrium where it is needed most--on the Hearst company's balance sheet. Last week Hearst directors voted to pay no quarterly dividend, though they noted "a distinct improvement in earnings over last year," when nine-month losses ran to more than $1,000,000 (TIME, Nov. 15).

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