Viacom Board to Back Settlement; Dauman to Step Down as CEO
- COO Tom Dooley to take over as interim chief executive officer
- Settlement marks near-total triumph for Sumner, Shari Redstone
Viacom Battle Moves to Next Phase as Dauman Departs
This article is for subscribers only.
Viacom Inc.’s controlling shareholders Sumner Redstone and Shari Redstone emerged victorious in a months-long legal battle to oust Chief Executive Officer Philippe Dauman, reaching a settlement that will see him leave the company with a $72 million severance package.
Dauman will become non-executive chairman until Sept. 13, giving him an opportunity to present to the board a proposal to sell a 49 percent stake in Paramount Pictures. The Paramount deal has been a cornerstone of his efforts to reduce Viacom’s debt and revive flagging sales and profit. Yet any accord must now have unanimous backing of the board, terms that cement the Redstones’ veto power.