AOLTW LIKES DICK FOR CHAIRMAN/CEO POST

As expected, the AOL Time Warner Board of Directors is combining the positions of Chairman and Chief Executive Officer and unanimously elected Dick Parsons to that post.

The appointment will become effective at the May 16, 2003 Annual Meeting of Shareholders.

As announced earlier this week, Steve Case will step down as Chairman at that time. He will be nominated as a non-management director in the 2003 proxy statement.

In making the announcement, the Board "reaffirmed its strong governance measures, which include executive sessions of all non-management directors without the CEO and other management present." Presumably, so they can make fun of them.

Mr. Case said: "After deliberating this week, the Board unanimously agreed that Dick should be named Chairman. I am delighted by this decision and look forward to working with Dick to ensure a smooth transition."

Mr. Parsons said: "I am highly gratified that the Board shares my determination to maximize AOL Time Warner's tremendous potential. As we address the challenges facing our company and the industries in which we operate, I will work together with the extraordinary people in this company to focus on increasing value for our customers and our shareholders. And I intend to devote my full attention to that task as soon as I finish filming my role as President David Palmer in the popular TV show 24."

The names of Viacom's Mel Karmazin, AOLTW Vice Chairman Ted Turner, HBO ruler Jeffrey Bewkes and "Mini Me" Vern Troyer had been floated for the job, though Parsons was always considered the odds-on favorite to add Case's Chairman post to his CEO role.