Market Overview

Report: CBS, Moonves In Departure Talks

Share:
Report: CBS, Moonves In Departure Talks

CBS Corp. (NYSE: CBS) CEO Les Moonves is reportedly in negotiations to leave the media giant after accusations of sexual misconduct.

What Happened

The CBS board is involved in settlement talks that would likely remove Moonves from the company, accordind to CNBC. The talks have spanned months and are not yet finalized, the report said. 

“While under his contract he is due as much as $180 million in severance and a production deal, sources say the board is offering a roughly $100 million exit package made up almost entirely of CBS stock and wants the right to claw back some of that compensation if at the conclusion of an ongoing investigation into charges of sexual harrassment, Moonves has been found to have committed other inappropriate acts,” said CNBC’s David Faber.

Why It’s Important

The negotiations come at a pivotal time, as CBS simulatenously struggles with Viacom, Inc. (NASDAQ: VIAB) over the terms of a merger. This week, CBS and Viacom parent National Amusements Inc. announced a proposed settlement to end litigation over the CBS board’s right to dilute voting power. 

What’s Next

The Los Angeles Times reported Wednesday that talks with Moonves have centered on whether he will transition to a producer role. The CEO's contract was renegotiated in 2017, expires in 2021 and includes a clause allowing Moonves to remain with CBS in a production deal, the newspaper said. 

Related Links:

Howard Stern Piles Onto Les Moonves With Sketch Of Poor Character

Argus Downgrades CBS On Moonves Risks

CBS CEO Les Moonves with his wife Julie Chen. Photo by David Shankbone/Wikimedia. 

Posted-In: CNBC David Faber Les Moonves Los Angeles TimesNews Management Top Stories Media Best of Benzinga

 

Related Articles (CBS + VIAB)

View Comments and Join the Discussion!
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Trading Daily
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Daily Analyst Rating
A summary of each day’s top rating changes from sell-side analysts on the street.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com

DocuSign Posts A Positive Q2 Print, But BofA Stays Neutral On Limited Upside Projections

Author Tells The Untold Stories Of Gay, Trans Truck Drivers In New Book