Shari Redstone pressures CBS to consider board moves – Variety

Shari Redstone continues to work to double the corporate trajectories of CBS Corp. and Viacom Inc., the two media conglomerates controlled by his family's motion picture company, National Amusements Inc.

In its latest move, Redstone has The US has been pressuring CBS to consider appropriate corporate governance, according to a report in The Wall Street Journal, and has been working to collect names for potential replacements for the company's board of directors and place more emphasis on long-term strategic planning. A CBS spokesman declined to comment, as did a Redstone representative.

The Journal reported that the company has not formally named a successor to Leslie Moonves, its current president and CEO. Moonves, 68, has, over the years, taken advantage of her skills to choose talent and programming in a position at the head of a company that produces some of the most well-known and most watched programs in the country, such as "The Big Bang" . Theory "and" NCIS. "Moonves' current contract declines in 2021. Meanwhile, Joe Ianniello, the company's director of operations, is expected to be named president of the company in 2018, according to the executive's latest contract, which was included in a November regulatory filing of the company.


The new pressure comes after the recent revelation that Redstone began reactivating its efforts to combine CBS and Viacom again.His father, Sumner Redstone, had combined CBS and Viacom in 2000, only to separate them six years later.National Amusements in September 2016 formally requested that the boards of both companies consider the possibility of a new merger on a of shares, then stopped the process at the end of that year.

It does not merge between the two companies something that is considered imminent, according to person s familiar with the matter, and it is said that Redstone's efforts are incipient.

More media companies are considering deals that would give them a bigger footprint in a sector that has been baffled by new technology and consumption patterns. Monetizing the content audience has become more difficult as consumers migrate to new video screens and behaviors that are not measured so easily, restricting the flow of advertising support and undermining the ability of media companies to secure advertising rates. the distributors To combat these trends, a number of major media companies have established large acquisitions or direct mergers.

CBS does not seem inclined to merge or make large acquisitions in the recent past, but the recent agreements reached by AT & T to buy Time Warner and Walt Disney to acquire a large portion of 21st Century Fox may have changed the panorama. "As the world around CBS and Viacom will soon be inhabited by giant companies with giant companies with endless balances, the reality of the current arms race has weighed on these two actions," said Michael Nathanson, a media industry badyst with Moffett. Nathanson , in a recent research note.

The combination of the two companies could give each one more market leverage, he suggested. "This combination should create greater leverage in negotiating membership fees and substantial cost synergies, and a merger with Viacom would give CBS more cash flow for its upcoming NFL negotiations," Nathanson said.

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