Former Fairfax chairman Nick Falloon announces resignation from Nine Entertainment board

Former Fairfax newspaper executive Nick Falloon announces his resignation from the Nine Entertainment board, closing a chapter for the now-defunct publishing company.

Nine chairman Peter Costello thanked Nick Falloon for his contribution to the merged company.

Nick Falloon, the former Fairfax Media chairman, will step off the Nine Entertainment board – a departure that marks the end of the company’s links with the one-time publisher of major newspapers.

Mr Falloon was one of three directors to transition to Nine after the broadcaster acquired Fairfax in a $4bn deal in 2018.

On Friday, he announced he would not seek re-election to the board in November at the company’s annual meeting.

Despite his resignation he will remain director of Domain, the real estate platform in which Nine has a 60 per cent stake.

Mr Falloon said it was “the time is right” for him to step down.

“It has been rewarding to see the benefits of the merger realised and the two businesses become integrated so effectively,” Mr Falloon said in a statement. “I am looking forward to continuing in my role as chairman of Domain.”

Nine chairman Peter Costello, with whom Mr Falloon is known to have had a rocky relationship, thanked the outgoing deputy chairman for his contribution to the merged company.

“Nick has been a valuable contributor to the Nine board since December 2018 and to the Fairfax board before that,” Mr Costello, the former federal treasurer and Future Fund chairman, said in the statement. “I am pleased that he intends to remain on the Domain board for a further term, to provide continuity for that business.”

Mr Falloon has also been dealing with some health issues in recent months, although sources said these had been resolved,

Only last year, however, Mr Falloon had been embroiled in controversy when Nine launched an investigation into the use of a corporate golf membership.

The media company received an anonymous complaint about the use of a corporate Terrey Hills Golf and Country Club membership by Mr Falloon’s son.

An investigation was conducted into the matter and found use of the membership was inappropriate but it did not breach Mr Falloon’s duties as a board director.

Fairfax Chairman Nick Falloon at the Fairfax Merger Meeting and AGM in 2018. Picture: Hollie Adams

There were reports of ongoing tensions within the board particularly at the time when discussions were being had over who would replace Hugh Marks, who departed as chief executive in late 2020 after revelations of his relationship with a former employee, Alexi Baker, who reported to him.

The only remaining Nine director who had sat on the Fairfax Media board is Mickie Rosen – however, she joined that board months before the merger.

Patrick Allaway was also previously from Fairfax before joining the Nine board when the merger took place between the television network and newspaper publisher of The Sydney Morning Herald, The Age and The Australian Financial Review.

Mr Allaway resigned last year and just one day after it was revealed an investigation would take place into Mr Falloon over the golf membership.

The remaining directors alongside Mr Costello, Nine chief Mike Sneesby and Rosen include Andrew Lancaster, Samantha Lewis and Catherine West.

Mr Falloon’s career has spanned more than three decades working in the media industry including for the Packer family from 1982 until 2001. He was chief executive of Publishing and Broadcasting Limited from 1998 to 2001 and prior to this he was chief executive of PBL Enterprises and the group financial director of PBL. PBL operated the Nine Network and ACP Magazines.

In 2002 Mr Falloon moved on to Ten Network Holdings where he spent nine years as executive chairman and chief executive.

In 2015 Mr Falloon was named as Fairfax Media’s new chairman and he replaced Roger Corbett.

Nine said it would look to appoint a new board director to replace Mr Falloon within the next 12 months. Nine shares fell 1.8 per cent, or 3.5c, to close at $1.88.