January 15, 2010 (FinancialWire) — Media and marketing firm Meredith Corp. (NYSE: MDP) said that it will record a special charge of around $5.5 million (or around $3.5 million after-tax or $0.07 per share) in its fiscal 2010 second quarter.

The charge, which includes severance, creative and distribution costs, is related to a repositioning of its Special Interest Media business, a collection of primarily newsstand publications focused on home improvement and do-it-yourself projects in niche content areas such as remodeling, decorating, food and entertaining, and gardening and outdoor living.

Meredith CEO Stephen M. Lacy said that the recessionary economy has impacted the consumer’s ability to execute these types of projects and led to a decrease in advertising spending. He said that, as a result, Meredith is repositioning its SIM portfolio to focus on certain home and food verticals, in particular those aligned with the company’s Better Homes and Gardens brand.

The company plans to produce around 90 SIM issues in fiscal 2011, compared to around 150 in fiscal 2010. Meredith said that around 45 positions are being impacted as part of this repositioning. Meredith currently employs more than 3,000 employees nationwide.

Iowa-based Meredith is a media and marketing firm focused on American women. Meredith’s brands include Better Homes and Gardens, Parents, Ladies’ Home Journal, Family Circle, and others.

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