FAIRFAX Media, publisher of the Sydney Morning Herald, yesterday named Brian McCarthy as chief executive, an appointment that was expected after the previous CEO resigned in the face of shrinking advertising revenue and a collapsing share price.

McCarthy, who also becomes managing editor, was Fairfax's deputy CEO and head of the publisher's Australian operations. He was the former managing director of Rural Press, which merged with Fairfax earlier this year.

"Mr McCarthy is the right person with the right experience at this time to run the company," Fairfax Chairman Ronald Walker said.

McCarthy inherits a company struggling with falling revenue, job cuts and a share price that has dived nearly 70 percent this year.

His predecessor, David Kirk, a former captain of New Zealand's All Blacks rugby team, stepped down last week after three years at the helm.

Fairfax owns more than 300 newspapers, 50 Websites and 15 radio stations. In Australia, it publishes The Age, The Sydney Morning Herald and The Australian Financial Review, among others. New Zealand mastheads include The Dominion Post and The Press.