From The Hollywood Reporter · Winston Cho · · 1m 30s
Paramount-Warner Bros. Settlement Hearing
Federal judge to decide if Paramount-Warner Bros. merger deal survives court review.
In brief
Federal judge to decide if Paramount-Warner Bros. merger deal survives court review. U.S. District Judge Araceli Martinez-Olguin will consider whether to dissolve Paramount and Warner Bros. Discovery's joint agreement not to close their $110 billion merger deal. Originally reported by The Hollywood Reporter.
Court hearing on merger deal
The federal judge overseeing the now-settled bid from a dozen states challenging Paramount’s $110 billion bid to acquire Warner Bros. Discovery will consider on Thursday whether to dissolve their joint agreement not to close the deal.
Settlement terms
The deal requires Paramount and Warner Bros. to release at least 30 theatrical films a year for the first two years and 32 for the following three years, maintain minimum wide and independent releases, and ensure at least half of films are produced or jointly produced by the combined company.
Divestiture clauses
A violation of the annual film quota could force the studio to sell its stake in Miramax, and other channels like BET, VH1, and Comedy Central may be required to be divested.
Editorial oversight
A five-member independent board selected by Paramount will oversee editorial standards at CBS News and CNN, with blue-chip assets like CNN or New Line Cinema not subject to divestiture.
State oversight
An independent monitor and a small group of state attorneys general will oversee compliance with the five-year consent decree, requiring Paramount to provide regular reports on its operations.
Criticism of deal
New York City Mayor Zohran Mamdani criticized the merger, stating, 'America is free only when the media is competitive, independent, and accountable to the people.'
“America is free only when the media is competitive, independent, and accountable to the people”
At a glance
U.S. District Judge Araceli Martinez-Olguin will consider whether to dissolve Paramount and Warner Bros. Discovery's joint agreement not to close their $110 billion merger deal.
