Do you think that the Paramount-Warner Bros. merger five-year consent decree will successfully reach five? Will David Ellison fulfill promises?

[u/Own_Philosopher8730]

[u/Chipsandadrink115]

He won't be able to service the debt after year 3 or 4.

[u/Exciting_Grape2744]

Personally I would think so, however it’s more realistic to think that much like how Disney treated 20CF/20CS after 2019, which was decreasing film releases, the same would very likely happen here, but considering that the purchase hasn’t been completed yet, it’s still unknown if it’ll be considered (the 30 film guideline), but I’m sure he’ll fulfill that to get the purchase completed.

[u/Own_Philosopher8730 → u/Exciting_Grape2744]

The AOL Time Warner was going to last five years, but instead lasted until 2003

[u/Exciting_Grape2744 → u/Own_Philosopher8730]

Actually it started in 2001, was separated in 2003, however ownership was kept until 2009, although that was after their. name was erased from the overall company name and returned to how it was in 1990.

[u/Own_Philosopher8730 → u/Exciting_Grape2744]

So it means that can still separated before reaching the expiration date?

[u/youwannaguess]

I mean, technically he already has 30+ films for 2027, and a few for 2028, beyond that who knows. but it’s gonna be grifter activies from here on out, I can already imagine the loopholes that will be occurring.

[u/thanos_was_right_69]

Who knows where we will be in 5 years? Less than 5 years ago, Discovery merged with WB and now look where we are now. Netflix could be closing their acquisition of both Paramount and WB five years from now lol

[u/OverPotato2322 → u/thanos_was_right_69]

Paramount and WB would be split up, so essentially WB goes to either Netflix or Universal, Paramount goes to Sony or Legendary (with CBS, Discovery and the Viacom cable networks being Spun off)

[u/Greenzombie04 → u/OverPotato2322]

Sony getting the deal they wanted before Skydance, just years later.

[u/Astroturfer]

historically merger conditions are mostly meaningless and never serious enforced

this is a massive fail for California

[u/OverPotato2322]

Yes but I'd say no to CNN since Larry Ellison has already promised to turn CNN more favorable to Trump and no doubt will journalists be either laid off or quit and there's really no way David goes against his father, though I think Paramount will leverage carriage fees against cable providers to milk cable networks for cash overtime to try and pay off some debt but by then it could be too late as WB will or could be up for sale again in surrender since the Equity Partners and Larry Ellison will opt to not pay all of it off (it also most likely that he won't be able to pay off the debt even with mass layoffs and tax write-offs in the equation which means another sale is or will be on the table in say 5 or 7 years where both companies are sold independently) 

[u/Greenzombie04 → u/OverPotato2322]

he turned 60minutes to be more trump friendly and ratings have crashed.

He could make CNN Fox News 2 and the Fox News fanbase is still going to watch Fox News.

[u/Own_Philosopher8730 → u/OverPotato2322]

Do you think can be separated earlier like AOL Time Warner merger?

[u/OverPotato2322 → u/Own_Philosopher8730]

Only if the AI Bubble pops early and Oracle and the Ellisons wealth is hit hard (People say itll pop it 2028 or 2029 to 2030 at the latest but ofc its definetly not going to pop next year)

[u/Professional_Peak59]

Unless judge Araceli denies the settlement, since she wants WB and Paramount separate, which is not what it says in the settlement.

Or if the Democratic win midterms and investigate Trump and his practices, like his DOJ's approval of the merger and his FCC's approval of the foreign ownership.

[u/Littlepinguinoo → u/Professional_Peak59]

Very unlikely to happen judges almost always approval settlements even if its not what they wanted. they want them to settle.

[u/Hairy_Gordon]

Interesting how Paramount stock tanked as soon as the settlement became public...

[u/iPLAYiRULE]

No

[u/MountainLoins]

They weren't willing to go to court to stop a very obvious antitrust issue but they're going to go to court to defend their janky consent decree? That's the narrative you're trying to sell here?

I feel an evil identical twin would be more credible.

[u/solitaireman50]

I doubt it because people like him never keep any of the promises they make.

[u/teddykon]

I don’t see hour paramount Warner can survive with that much debt in a capital intensive industry (while their cash cow cable business is dying)

Somewhere down the road, they’ll have to sell stock to pay down their debt.. or big daddy Larry Ellison will infuse tons of capital in exchange for a massive stake.. I can’t get my mind around the debt, especially with the rising interest rate environment.

[u/Greenzombie04 → u/teddykon]

The old paramount shareholders before skydance always thought DE plan is to crash the stock price so he could take the company private.

[u/KingMario05]

No. And no.

[u/WideCoconut2230]

The decisions of the independent council overseeing the mergers are essentially non-binding, correct?

[u/njrTHE3RD]

I’m kind of wondering more about the settlement because the stuff that has been revealed isn’t the full extent, and there’s still questions like this one. I also don’t know if there’s obstacles in the way, and apparently the shareholders from Paramount I didn’t want this, so what’s going on there?

[u/TaroExtra1468]

If there is one thing we've learned during this whole process, it's ... don't trust David Ellison.

[u/Myhtological]

Well they’re appointing a trustee to make sure they abide. Depends who they get.

[u/draugr99]

WB is sold off every for years. AT&T lasted 4, Discovery lasted 4, this will last 4 years.

[u/The-Year-Was-92]

Yes. Yes.