TEN sacks James Warburton as CEO

By David Knox on February 22, 2013 / Filed Under News, Top Stories 48

j-warburtonThe TEN Board has given notice of termination to James Warburton as CEO and appointed Hamish McLennan as CEO.

Russel Howcroft, who joined the company last month, will act as CEO until March 18.

Warburton has been dismissed after less than 14 months in the role. Warburton was appointed to the role, and dismissed, by TEN Chairman Lachlan Murdoch. But the appointment led to a much publicised legal case with his former employers, the Seven Network, and months of “gardening leave.”

But he already inherited a network plagued with problems, cost-cuts, management problems and a board of multi-billionaires.

Today Lachlan Murdoch, said: “The Board would like to thank James Warburton for his hard work and contribution during what has been a difficult period for the Company and for the broader media sector. He steps down with TEN’s best wishes.”

TEN has appointed Hamish McLennan, Executive Vice President, Office of the Chairman, News Corporation, and Chairman of REA Group Limited as both Chief Executive Officer and Managing Director of the Company. He has a salary of $1,975,000.

“The Board is delighted to have been able to attract a world class CEO with a strong track record to lead TEN,” said Murdoch.

McLennan added: “TEN is a media business with a strong balance sheet and excellent staff. I look forward to leading TEN through a period of creative renewal and financial growth.”

The news comes just a day after former sales boss Mike Morrison said that the public no longer trusted TEN, but a spokesperson branded his comments, “absolute nonsense.”

This post updates.

48 Comments »

  1. Armchair Analyst February 24, 2013 at 4:15 pm -

    So the revolving door at Network Ten continues. Not surprised at this at all . They sack the former executives but keep David Mott, eventually he fleaes, they get a new CEO from a Network which is going well so logically a good decision, However having Lachlan their along with the other billionaires wanting to use Ten for their own anterior motives has just left that Network a shell of its former self. If Lachlan stays their the new CEO will not have much luck either. I hope James can find a decent media job again. I doubt Seven will help him out, we all know why. The solution is simple the rest of the shareholders must get rid of the billionaires who have caused Ten serious brand damage and have set the Network back Ten years or more. I don’t have any confidence that another News Limited guy will fix things for Ten mainly because Lachlan will not allow it to protect his interests.

  2. Gonzo February 24, 2013 at 2:23 pm -

    Everyone remembers One Tel. Super League was another classic Lachlan failure.

  3. A. February 24, 2013 at 11:31 am -

    I don’t want Ten to become a FOX(TEL) channel nor change its name to FOX. I mainly agree with J Bar that the majority of Australians probably wouldn’t want that. Ten has been watched by millions of viewers over the years. Foxtel by a small minority. Seems like a suicidal idea.

  4. bettestreep2008 February 24, 2013 at 10:19 am -

    It appears that the majority of comments posted here agree on one thing;-

    The main problem at Ten is Lachlan Murdoch.

    Ever since he took over it has been one disaster after another.

    If I was a Ten shareholder I’d be demanding his resignation right now.

    Or do the shareholders really want Ten to go the same way as Lachlan’s other business he ran?

    Remember OneTel?

  5. bristv February 24, 2013 at 9:41 am -

    In fairness to Mr. Wharburton the ratings failures may have gone to air on his watch, but were commissioned on someone else’s (LM). Who hired JW? It would seem the rot started on the day they sacked Grant Blackley. Is JW the sacrificial lamb to another, as yet unseen/announced LM agenda? FOX10 Australia????????

  6. J Bar February 23, 2013 at 8:32 pm -

    Seems like this forum has been hijacked by Foxtel goons. So many comments suggesting that Fox should take over Ten. WTF? That is not what the majority of Australians want. They want the Aussie networks to be independent. There is already too much media concentration in this country.

  7. mediamgt February 23, 2013 at 4:21 pm -

    Agree with the rebranding as a Fox network being the best strategy. A clean break away from a tarnished brand that will take forever to rebuild. The Fox branding is strong.

    Don’t know why we persist with names like “Ten” when it means nothing in the digital age. The days of turret tuners on TVs where you’d click the dial around to channels 2, 7, 9, 10, 28 etc are long gone.

  8. James 666 February 23, 2013 at 3:03 pm -

    If we stop for a moment – and respecting the need for shareholder returns which LM and JW have destroyed let’s consider a few facts:

    1. Many hard working and talented Executives have been sacked,taken retrenchment packages or early retirement due to uninformed decisions by two people,

    2. The Industry and Ten has lost many Leaders and Mentors – what does the new and ambitious group look for and up to ?

    3. The natural state of arrogance drives both Seven and Nine as they maximise a weak Ten which destroys investment and creativity in market,

    4. Production budgets are lost, eliminated or reduced affecting the flow of the media Eco-system.

    Lachlan can run back to Dad, James can sit on an island and the other 200 poor souls can rebuild while the industry ponders it’s disrupted future.

    Let’s think of a few others ahead of yourself.

    Signed,

    Humanity

  9. Pertinax February 23, 2013 at 11:53 am -

    Ten haven’t sacked just one person. They sacked Mott and 100 other people as well.

    Warburton was appointed by Murdoch to target 16-39s. As the smallest network, they were out bid for The Voice etc., So he and Mott set about creating their own cheap reality TV. EDW, The Shire, Bingle, that drag show contest. Which all failed up against the @l^mp!cs!, The Voice and the X Factor and this was what did the most damage to Ten’s position. And now their 2013 lineup is failing against MKR too and they are only doing OK on Sundays.

    Ten is now targeting 18-49s and now wants new leadership and fresh ideas. Fairly understandable. McLennan’s is a corporate veteran and his first priority will be restructuring to Ten’s new reality.

  10. oztvheritage February 23, 2013 at 10:41 am -

    This man was going to be the guy that was going to bring Ten back, recruiting him from the number one network. He would have thought it was within his scope to have success. He was not allowed to start straight away. Murdoch became fill in CEO and during his 6 months Axed every program that was the core of TEN’s success, The shows that made ten a point of difference. Video Hits, AFL, Late News, One HD Sports. Things that were a threat to his Foxtel. By the time Warburton, actually got there Ten was a basket case thanks to Murdoch’s decisions. James really had no hope. New Programs targeting a younger audience were created because that was Ten’s success in the early 90′s,(mainly due to overseas content – low cost, high profits). But with these axed programs, damage had been done, people had stopped watching TEN. The decision from TEN to target a younger audience was wrong as this market was getting entertained by other media.

    Seven became number one because of mainstream investment in sport, drama, reality, and public affairs.

    Nine has came back from the dead by its investment in Reality (the Voice) and the Olympics.

    Tens investment in 2012 was not mainstream enough.

    Tens investment in 2013 for a basket case of a network is pathetic. Axe people and shows and bring back back same old stuff and hope it will work. They can’t hang there future on M Chef and Biggest looser for ever. MM Murder the only fresh program.

    Clearly the network had to deliver in 2013 to save James’s position. But with no cash to investment in new programs, the guy clearly had no chance.

  11. PJs Ronin February 23, 2013 at 10:16 am -

    Now maybe Ten can dig itself out of the hole it is in.

  12. tvf February 23, 2013 at 8:20 am -

    Sacking one person does not fix an organisation. There are massive problems and its a long road ahead.

  13. James 666 February 23, 2013 at 6:10 am -

    So sorry Ten Staff and Shareholders. The fact that Lachlan entered the building and got rid of all the professional Broadcast Talent and Management starting with the Chairman and CEO shows his pure unadulterated lack of insight and ability.

    Warburton and his merry men were and are failures. Lachlan should also remember his year at CEO which was instrumental in the slide and loss of value to all.

    Now Rupert has to clean the mess up again by appointing McLennan – a loyal soldier. Lachlan’s at least consistent – OneTel & TenTel.

    Shame on the Board and Regulator and pity the viewer, shareholders and loyal talented staff.

  14. David Knox February 23, 2013 at 1:16 am -

    It was a classic “let’s bury it late on Friday” release. I was still at my keyboard and turned it around instantly…

  15. ryan February 23, 2013 at 1:14 am -

    You have been busy today David lol. Good job on developing stories:)

  16. bagbuffy February 23, 2013 at 12:41 am -

    I have never understood Ch10.

    Ch 10 Say they cater for the younger Audience, yet they have Far Right Wing Programmes/Crazy Hosts, which most the younger Audiences don’t and won’t watch, And The Older White Male who would enjoy these programmes don’t watch Ch10. So why produce them? That’s what Sky News is for!

    When ch10 had the AFL they delayed, delayed and delayed there Number 1 Sport. Yet showed 3rd tier sports that my dog wouldn’t watch Live in Prime Time, on One Sport.

    Then Ch 10 wanted to be a news channel, then there not a news channel.

    Like I said I don’t get Ch10, then again I don’t really watch Ch10, who does?

  17. jonasboi February 23, 2013 at 12:14 am -

    because there problem is there ceo and not the 3 morons who have the biggest share in the network.

    channel 10 always had success with a younger market, but they tried to hard to cater to all the generations and they failed….the project and talking about your generation are/where 2 shows that have been able to cater to a broader audience and continue to do well.

    when the project first started it was almost axed but they stuck it out and it is doing well.your gen failed because they kept changing the time slot.can of worms and the living room have became successful because again there is something for everyone.the circle worked because it cater to woman, and not just the stay at home mums and pensioners but everyone. even the blokes.

    breakfast would have worked if they got rid of Paul and left the show alone.You can’t expect to pull the ratings straight away. you just need to let it happen.the biggest mistake they made was 6pm with George Negus, it should have been on once a week or later in the night.

    @scooott the ship has sunk, they are just trying to salvage the scrap metal. and when did one go from sports to sports, doco and drama. I have been waiting for white collar only to learn it was on one…Glee didn’t perform well? lets move it to 11 and see what happens. and Neighbours needs to either go back to ten or axe it because the story lines are repeating over and over. a new family moves in, parents split up. family moves away.

  18. Lizzie May February 22, 2013 at 11:52 pm -

    Channel Ten. Hello? Stop catering to young people- they don’t watch tv. Channel 7 has worked that out and look where they are.

  19. jezza the first original one February 22, 2013 at 11:20 pm -

    A fairly irrelevant and unfortunate move. The lead time to instigate substantial change is 6-9 months. This is after all a 4th placed minor network.

    Someone suggested a rebrand to FOXfta…..I agree with that or a similar move. The target demo is pushing massive change and a radical move is essential. Who cares what was happening 5 years ago, its the next 10 that count

  20. bettestreep2008 February 22, 2013 at 11:05 pm -

    He should have been sacked – but what abiout that useless Lachlan Murdoch.

    The rumours that he and the board are deliberately destroying Ten to move more people to Lachlan’s Foxtel is looking more and more likely.

  21. Secret Squirrel February 22, 2013 at 11:02 pm -

    Wow, just wow. Didn’t think that was on the cards just yet. Agree with others that he might not have done a great job but he was given a three-legged dog and told to go and win races. Nothing will change until Murdoch goes.

    Rupert: Here, Hamish, have a drink from this chali-, er…fancy goblet.
    Hamish: Hm, smells a little funny.
    Rupert: Don’t you worry about that. Drink up.

  22. bettestreep2008 February 22, 2013 at 10:58 pm -

    Finally a good decision from TEN .

    Now they have to hire someone thar really knows about television.

    David – send your resume to Ten immediately

  23. David Knox February 22, 2013 at 10:48 pm -

    Conflicting tweets are due to conflicting statements in TEN Press Release:

    “Ten Network Holdings Limited today announced that the Board had given notice of termination to Mr James Warburton.”

    “He steps down with TEN’s best wishes.”

  24. Chris N. February 22, 2013 at 10:32 pm -

    Another example of Murdoch and the Richie Rich club ruining Ten. James Warburton leaves a good job at the number one TV network (which even led to legal action) to go work for Ten, only to get sacked.

  25. carolemorrissey February 22, 2013 at 10:28 pm -

    There’s so many conflicting Tweets about this. One says he’s stepped down, another says he was sacked. Let’s hope his replacement works a miracle and brings 10 out of the doldrums.

  26. ryan February 22, 2013 at 10:24 pm -

    God you would think the Ten board would realise Lachlan murdoch is the problem! Ten will not change until he is Gone.

  27. TEN 85 February 22, 2013 at 9:59 pm -

    How do you get a gig like that?

    Leave one network on highly paid gardening leave for 6 months. Arrive at another network, not have terribly much impact, earn a significant salary for 12 months, then get a handy payout of your contract.

    On the serious side, JW will be tainted for quite some time at a media CEO level, but I suspect he was trying to succeed under the tremendous weight of Murdoch and the other knuckleheads on the board.

    Surely the board has to look in the mirror and step down as it is almost mathematically impossible for them to be voted out by shareholders.

    Such a shame for TEN….. Once a great company

  28. Bamesy February 22, 2013 at 9:49 pm -

    if they were gonna sack him they should’ve done it the end of last year, now the rest of 2013 is practically written off as well!

  29. TasTVcameraman February 22, 2013 at 9:45 pm -

    Well I am surprised, but anything the board does now does not make much sense….reactive instead of proactive.

  30. Mark W February 22, 2013 at 9:43 pm -

    It’s so simple..have better shows that actually appeal to an older audience like channel 2 do..that way they would watch the network and not watch shows downloaded by younger audiences..try more HBO type shows and peopel will watch.

  31. Maev....Sydney February 22, 2013 at 9:42 pm -

    @ Jason…this is so standard…this person got the sack…speak!

  32. byeana February 22, 2013 at 9:40 pm -

    @Jason

    I think Ëddie’s “Boned” may be closer to the mark, seems like James’s replacement may not have been as surprised as James may have been?

  33. BigVic February 22, 2013 at 9:38 pm -

    Switched off FTA TV for good.

  34. The Other Adam February 22, 2013 at 9:32 pm -

    You wouldn’t think it’s so hard when you look at the crap on 7 and 9

  35. JB February 22, 2013 at 9:26 pm -

    Mott gone, Warburton gone. Now get rid of Murdoch and Rinehart and Ten may actually start getting somewhere.

    The network literally has nothing going for it. It doesn’t matter what shows they put on, no one wants to watch simply because it’s on Ten.

  36. Guy February 22, 2013 at 9:02 pm -

    Heres the problem and its not Warburton but the people above him. Ever since Murdoch and co have come into Channel Ten the network has spiraled out of control. They are the reason TEN are where they are imo. They tarnished the brand and can’t come back from this. Be interesting if Warburton tries to run back to Seven with his tail between his legs :lol

  37. TVScene February 22, 2013 at 9:00 pm -

    I seem to recall that James Warbuton was favoured as CEO in-waiting at Seven over Tim Worner. Seems that one out-performed the other by a country mile. This is extraordinary news.

  38. cameratech February 22, 2013 at 8:54 pm -

    No surprise this happened.
    Due the the analogue TV switch off I fully expect the Ten brand will be retired and the Network plus affiliates will relaunch as FOX FTA before the year is finished.

  39. Jason February 22, 2013 at 8:37 pm -

    “He steps down with TEN’s best wishes”. Yeah, right. Murdoch-speak for “he was booted”.

  40. MHA February 22, 2013 at 8:10 pm -

    Wow, stunning but not unexprected news. Nice to see that the CEO job has gone to someone in the News Corp family. Why not go the whole hog and have Foxtel take it over like what happened to Prime in New Zealand? That would be despite Seven being formally blocked by the ACCC to take over Foxtel just a few months ago. Can see this or a future Govt ammending the rules so as not to see TEN go off the air.

    Guessing that Adam Boland won’t be going to TEN now, less so with Warburton gone. Where to now for Warburton, Nine perhaps to lead Nine Sales department?

  41. johnjet February 22, 2013 at 8:07 pm -

    Sack the board as well. Useless as a 3 sided coin.

  42. JJ February 22, 2013 at 8:06 pm -

    This is excellent news but the big question on everyone’s lips is how could this man Warburton have made Seven such a success but failed Ten so very badly? Also how do we know the network will change now given the rest of the riff raff is still with the network?

    I only wish Ten would become a competitive third commercial network and the only way forward is to start appealing to a wider and older audience of all age groups 0-99 and leave their digital channels for specific demographics.

    I would love to see a complete overhaul, a new slogan, new logo, new feel etc. and hopefully better things ahead. I would only leave Masterchef and the 5pm news, the only high raters, all the rest can go, start from scratch, appeal to a wider audience and start programming to be number 1 with mass appeal to a mass audience.

    But even with a new CEO, I somehow doubt anything will change. I have a feeling Channel Ten will languish in 4th spot for a long time yet.

  43. Raven February 22, 2013 at 8:05 pm -

    The board members should consider their positions or atleast question their capacity to judge a good candidate. This bloke was clearly an amateur from the very beginning.

  44. William February 22, 2013 at 8:03 pm -

    Now their CA rights have gone a begging as JW knew all the tricks off 7. Where is JW going to go now?

  45. GG February 22, 2013 at 7:57 pm -

    What’s that line about passing the poisoned chalice???

  46. Kirk February 22, 2013 at 7:52 pm -

    Wow. Can’t say I’m surprised after the dismal performance in 2012. Good luck Hamish (you’re gonna need it…)

  47. Tommo February 22, 2013 at 7:50 pm -

    Uh oh………
    Ten are like a parked car hurtling down a mountain without its handbrake on!

  48. scooott February 22, 2013 at 7:49 pm -

    Not sure “train wreck” does it justice. Captain leaving as sinking ship?

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