Philippe Dauman Steps Down as President and CEO; Will Continue as
Non-Executive Chairman until September 13
Thomas Dooley, Viacom COO, Named Interim President and CEO through
September 30, End of Fiscal Year
Five Independent Directors Elected to the Board
NEW YORK--(BUSINESS WIRE)--
Viacom Inc. (NASDAQ:VIAB, VIA) today announced an agreement with
National Amusements Inc. (NAI), members of the Redstone family and
related parties, settling all disputes among them. Under the terms of
the settlement, which have been unanimously approved by the Boards of
Directors of Viacom and NAI, all lawsuits among them will be terminated,
and Viacom will create an expanded Board of Directors to include the
five Viacom directors elected in June by NAI.
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Tom Dooley (Photo: Business Wire)
As part of the settlement Philippe Dauman will resign immediately as
President and Chief Executive Officer of Viacom and will be succeeded by
Thomas Dooley, who will serve as Interim President and CEO through
September 30, 2016, the end of Viacom's fiscal year, by which time the
Board, working with Mr. Dooley, will make a decision on succession
plans. Mr. Dooley has been Chief Operating Officer of Viacom since 2010.
He joined the company in 1980.
Mr. Dooley will work closely with the new Board to develop a financial
and strategic plan to position Viacom for future success.
Mr. Dauman will remain as Non-Executive Chairman of the Board of Viacom
through September 13, 2016. The new Board will then select a successor
for Chairman. Sumner Redstone will remain Chairman Emeritus and Shari
Redstone will remain Non-Executive Vice Chair. Once Mr. Dauman departs,
the Board will consist of 15 directors.
The five new Viacom Board members elected by NAI are Kenneth Lerer,
Thomas May, Judith McHale, Ron Nelson and Nicole Seligman. Ms. Seligman
will head the Governance and Nominating Committee, Mr. Nelson will head
the Audit Committee and Ms. McHale will head the Compensation Committee.
The five new directors elected to the Viacom Board will comprise a
majority of each committee.
In his remaining time as Non-Executive Chairman, Mr. Dauman will have
the opportunity to present a proposal on the previously announced
exploration of a potential sale of a minority equity stake in Viacom's
Paramount Pictures film unit, for consideration by the expanded Viacom
Board. A provision adopted in June by NAI remaining in effect would
require unanimous agreement by the Board for the completion of the sale
of an interest in Paramount.
Mr. Dauman said, "I care deeply for Viacom, which has been an important
part of my life since I joined Sumner in the acquisition of the Company
30 years ago. I believe this agreement will give the Company and its
employees the best opportunity to continue a smooth evolution into the
future. I will do my utmost to ensure an effective Board and management
transition in my remaining time as Non-Executive Chairman."
He continued, "It has been a privilege to lead Viacom and have the rare
opportunity to work side by side with so many friends and colleagues to
build great brands and implement successful initiatives in the U.S. and
around the world. Most of all, I am proud of our people, our culture and
our inclusive values."
Ms. Redstone, President of NAI, said, "We thank Philippe for his many
years of dedicated service and the important role he has played at
Viacom. We also welcome the new Board members who join us today. By
strengthening Viacom's governance and leadership, these changes will
enable the Company to embark swiftly on a strategy that strengthens its
position as an industry leader. Viacom has extraordinary assets and
people, and we look forward to taking the necessary steps to realize the
Company's full potential to the benefit of all stockholders."
Mr. Dooley said, "With the resolution of these issues, I am looking
forward to working closely with the Board to develop a strategy to
position Viacom for growth and success. I have very much enjoyed
partnering with Philippe over many years and am grateful for the
opportunities that have been presented to me by the Redstone family. We
share a strong commitment to Viacom's future and to guiding the Company
through an orderly and successful transition."
Frederic Salerno, a Viacom Director, said, "I am pleased to have worked
with Philippe, Tom, Shari and other directors to arrive at this
settlement and transition plan, which we believe serves the best
interest of all Viacom stockholders. With this agreement, we believe the
Company will be well-positioned to move forward."
About Viacom Inc.
Viacom is home to premier global media brands that create compelling
television programs, motion pictures, short-form content, apps, games,
consumer products, social media experiences, and other entertainment
content for audiences in 180 countries. Viacom's media networks,
including Nickelodeon, Comedy Central, MTV, VH1, Spike, BET, CMT, TV
Land, Nick at Nite, Nick Jr., Channel 5 (UK), Logo, Nicktoons, TeenNick
and Paramount Channel, reach over 3.5 billion cumulative television
subscribers worldwide. Paramount Pictures is a major global producer and
distributor of filmed entertainment.
For more information about Viacom and its businesses, visit www.viacom.com.
Viacom may also use social media channels to communicate with its
investors and the public about the company, its brands and other
matters, and those communications could be deemed to be material
information. Investors and others are encouraged to review posts on
Viacom's company blog (blog.viacom.com), Twitter feed
(twitter.com/viacom) and Facebook page (facebook.com/viacom).
About National Amusements, Inc.
National Amusements, Inc., is a world leader in the motion picture
exhibition industry operating more than 950 movie screens in the U.S.,
U.K. and Latin America. National Amusements delivers a superior
entertainment experience in theatres around the world under its
Showcase, Cinema de Lux, Multiplex, SuperLux and UCI brands. Based in
Norwood, Massachusetts, National Amusements is a closely held company
operating under the third generation of leadership by the Redstone
family. National Amusements is also an equal partner in the online
ticketing service MovieTickets.com and is the parent company of both
Viacom and CBS Corporation. National Amusements, directly and through
subsidiaries, holds approximately 79.8% of the Class A (voting) common
stock of Viacom Inc., constituting 10% of the overall equity of Viacom.
National Amusements, directly and through subsidiaries, also holds
approximately 79.5% of the Class A (voting) common stock and 2.2% of the
Class B (non-voting) common stock of CBS Corporation, constituting 8.6%
of the overall equity of CBS Corporation. For more information, please
View source version on businesswire.com: http://www.businesswire.com/news/home/20160820005005/en/
Jeremy Zweig, 212-846-7503
Stephen Labaton, 646-805-2042
Source: Viacom Inc.
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