Levin Says Decision to Leave AOL Is His

Gerald Levin, who surprised the media world last week with his plans to retire as chief executive of AOL Time Warner, dismissed any speculation Tuesday that friction with Chairman Steve Case had anything to do with his decision.

“I recognize the action I’ve taken, no one will accept on its face,” Levin told reporters before delivering a lunch address to Los Angeles civic and business leaders.

But Levin said he made it clear to Case when AOL merged with Time Warner in January 2001 that Case “was an essential part of the new company.” Levin, who will step down as CEO in May, said he would like to see Case’s perspective “perpetuated in the company.”

An article this week in Newsweek suggested that Case was becoming impatient with Levin’s increasingly imperious tone. As one example, the article said AOL Time Warner made an expensive bid for AT&T;’s cable business even though Case was not fully supportive of the idea.

Levin also acknowledged Tuesday that he has had a “love-hate” relationship with AOL Time Warner Vice Chairman Ted Turner, a board member and one of the firm’s largest shareholders.

In late November, Turner took a series of public potshots at Levin during a cable convention in Anaheim.

Turner said that allowing Time Warner to become an investor in his company, Turner Broadcasting System Inc., in the late 1980s was the “biggest mistake” of his career. Turner lost his operating role at the company during a management reorganization before AOL’s merger with Time Warner.

Levin said the company was trying to renew Turner’s contract, which expires at the end of this month, and that these negotiations began well before Levin announced his departure. But some close to Turner said he has not decided whether to accept the new contract because he does not want just a ceremonial post.

Levin addressed a group attending Town Hall Los Angeles, a community forum that invites speakers from the business, government and arts communities.

In speaking about media’s role in the war against terrorism, Levin spoke of the changing responsibilities of corporations for the physical and psychological security of their employees. He called for a restructuring of the financial system to encourage leaders to take these responsibilities seriously.

He said these issues factored into his decision to step down from the largest entertainment and media corporation.

“I’m exploiting my position too much. I want to do it as my own person. No one may listen once I take this hat off, but it [my message] will have purity,” Levin said.