UPDATE 1-Thomson Reuters hires Economist CEO to lead media unit

May 29 (Reuters) - Thomson Reuters Corp saidon Wednesday it had hired Andrew Rashbass, currently group chiefexecutive of The Economist Group, to be CEO of its Reuters newsbusiness.

"We are determined that Reuters news should not only fulfillits critical mission but also its potential in creatinglong-term value for our customers and shareholders," DavidThomson, chairman of Thomson Reuters, said in a statement.

Rashbass has spent 15 years at The Economist in severalroles, including managing director of Economist.com andpublisher of the magazine. Pearson Plc's The FinancialTimes Ltd holds a 50 percent stake in the parent holding groupof The Economist.

Rashbass will report to Thomson Reuters CEO James Smith andwill be based in London in the newly created role at Reuters.Stephen Adler, president and editor-in-chief at Reuters, willreport to Rashbass.

"We are both committed to great journalism and hisappointment will allow us to continue to do great journalismwith a greater likelihood of doing even better commercially,"Adler said in a statement. "I'm looking forward to working withhim."

Pearson