“People close to the discussions” have told The Wall Street Journal that Paramount Global will continue “to abstain from particular corporate diversity initiatives,” one step it will take to meet FCC approval of Skydance Media’s proposed merger with the company through an acquisition of the Redstone family’s National Amusements Inc., the controlling shareholder.
With the FCC under Chairman Brendan Carr stating that diversity, equity and inclusion practices which use “invidious forms” of discrimination will be considered as a pre-condition when reviewing any merger or transaction, the Paramount-Skydance deal remains in regulatory limbo. “News distortion” complains lobbed against Paramount, as the parent of CBS News and CBS Owned Stations, from the ultra-conservative Center for American Rights, have only clouded the FCC’s review of the proposed transaction.
As the WSJ sees it, the efforts Paramount and Skydance are taking with the Commission happen to coincide with mediation scheduled to begin next week between Paramount Global and attorneys representing President Trump, who filed a separate lawsuit against CBS News regarding alleged “news distortion.” Trump sees $20 billion in damages.
Shari Redstone believes a settlement with Trump would be best, and clear the obstacles that have blocked the sale of her family’s stake in NAI to Skydance, led by David Ellison — son of Oracle founder Larry Ellison.
Meanwhile, CBS News is coping with the resignation of 60 Minutes Executive Producer Bill Owens on the grounds that the long-running newsmagazine has lost editorial independence.
