You're getting some good milage out of the NYSlimes.
Posted on 07/23/2006 5:35:40 PM PDT by abb
Infighting and Weak Ad Sales Hurt Both New Companies; Questioning a Media Fad
'I Have No Second Thoughts'
On Jan. 3, Viacom Inc. Chairman Sumner Redstone stood on the balcony of the New York Stock Exchange and heralded the split of his media conglomerate. "The world has changed," he declared after he rang the opening bell.
Seven months later, the world indeed has changed -- but not entirely in the way Mr. Redstone predicted. The decision to separate the fast-growing MTV Networks from the more mature CBS TV and radio operation coincided with a sudden slowdown in cable-TV ad sales. The new Viacom, which owns household names such as MTV, Nickelodeon and VH-1, is falling short of its aggressive profit forecasts. Its stock price has plunged 20% since it started to trade, putting pressure on CEO Tom Freston. The new CBS Corp., for its part, has raised its dividend twice but its shares are up only 1%. [Sumner Redstone]
Compounding the troubles is a fierce rivalry between the two companies, both still controlled by the 83-year-old Mr. Redstone. Messrs. Freston and his CBS counterpart, Les Moonves, have sparred publicly as competition between the two escalates. The companies are also squabbling over a $291 million payment as they attempt to divide the old company's debt between them.
The break-up of Viacom, a conglomerate formed as the result of two decades of acquisitions, seemed to signal the start of a sweeping change in entertainment. Rapid technological change is roiling the business, punishing stocks of big media companies. Investor Carl Icahn waged an unsuccessful battle to break up Viacom rival Time Warner Inc. Tribune Co.'s largest shareholder has proposed the TV-and-newspaper company do the same.
(Excerpt) Read more at online.wsj.com ...
Thanks SmartA, it's a messup but I spent too much time on it already.
LOLOL!
That's very cute!
A messed up effort but after all the work I posted it anyway.
Messed up, or not...
it's still cute.
LOL!
You mean, Thank God Almighty, we're free at last? Or are you unable to soil your mouth with such graphic words? What a tool. I pray their failure comes even faster than we already hope for.
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