CBS Market Watch: It's time for Time Warner to drop AOL

Following todays news that "AOL Time Warner Inc.'s Internet unit is planning to slash at least $100 million in operating expenses, including hundreds of jobs at its Northern Virginia headquarters," calls for Time Warner to spin off AOL Online are reaching fever pitch.

"At this point, the benefits of a spinoff are now greater than ever," said Frederick Moran, an analyst with Jefferies & Co. in New York. "The AOL management has finally recognized that it will take over a year before it can turn America Online around — and that's with no certainty that it can turn it around. That is far too long for investors to wait," Moran said.