3 Founders Of Demand Media Are Out

Kristen Moore, VP of corporate communications for Demand confirmed the report of paidContent, who said most of their duties will be passing on to Michael Blend, EVP of Media & Marketplace for the company, after a transition period of a couple of weeks.

PaidContent.org also listed the 8-K filed for Fitzgibbon that detailed his departure terms.

Although all three owned stoc  in the company, Mr. Fitzgibbon is the only one who owned enough to tigger the 8-K:

“”In connection with his resignation, Mr. Fitzgibbon entered into an Executive Separation Agreement and General Release with the Company dated as of January 27, 2012. The Separation Agreement provides that Mr. Fitzgibbon will receive the following benefits in connection with his separation from the Company: (1) accrued but unpaid base salary through the date of separation, (2) his accrued bonus at 100% of target for 2011, in an amount equal to $125,000, (3) twelve (12) months of continued COBRA coverage and expense reimbursement under the Company’s Executive Medical Reimbursement Plan, (4) acceleration of 21,750 of his currently unvested restricted stock units and (5) one year to exercise vested but unexercised stock options outstanding as of the date of separation.”"

According to Moore the fact that the three departed at the same time was “just coincidence.” The departures, she said, had nothing to do with contracts around the company’s IPO—that lock up, in fact, expired in August last year. She added that the three will “pursue separate opportunities and new business ventures” but did not provide further information.