Paramount shares drop as top execs unveil $500M cost-cutting plan amid Skydance talks
NY Post
Paramount Global shares slipped Tuesday after top executives laid out a sweeping restructuring plan that includes $500 million in annualized cost cuts — as the company’s future remains murky amid talks of a potential merger with Skydance Media.
The executives — CBS President and CEO George Cheeks; Chris McCarthy, president and CEO of Showtime/MTV Entertainment Studios; and Paramount Pictures President and CEO Brian Robbins, — have led the company since the exit of former boss Bob Bakish in April, who left amid growing tensions with Shari Redstone, Paramount’s controlling shareholder.
Redstone endorsed the co-CEOs and their plan to better capitalize on the company’s wealth of content and reduce costs to strengthen its balance sheet — which the executives said could include potential asset sales and a possible joint venture or other partnerships for its Paramount+ streaming service.
“They are each experienced, respected leaders within our company, in our industry, and they have been behind our biggest successes for years,” she said on Tuesday.
The annual shareholder meeting was the first time the triumvirate publicly addressed investors as a group.
The company’s shares fell more than 3% following the executives’ remarks.
