Four AGs Stall Paramount’s $111 Billion WBD Deal Settlement Over Lenient Terms
Updated
Updated · Deadline · Sep 21
Four AGs Stall Paramount’s $111 Billion WBD Deal Settlement Over Lenient Terms
3 articles · Updated · Deadline · Sep 21
Summary
Four of the 12 state attorneys general suing over Paramount’s acquisition of Warner Bros Discovery have refused to sign off on a settlement framework, leaving talks effectively frozen into next week.
Minnesota’s Keith Ellison, joined by New York’s Letitia James, Connecticut’s William Tong and likely Washington’s Nick Brown, argue the proposed terms are too favorable to Paramount and that a CNN editorial board or cable divestitures would have little force.
October 1 is the key pressure point: Paramount faces a $7 million-a-day ticking fee to WBD shareholders if the merger remains unresolved, pushing negotiators to discuss penalties for broken theatrical-release promises and a two-year hold-separate structure.
September 24 and 25 could further shape the case, with a hearing on Paramount’s bid for a $1.88 billion bond from the AGs and WGA, followed by responses to Iowa and Montana’s effort to send the dispute to the Supreme Court.
The split exposes growing political pressure around the case, as Hollywood unions and anti-merger activists press for a tougher line while California officials and some local leaders urge a negotiated resolution to avoid economic fallout.