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CBS-Viacom merger may be closer to reality, thanks to Redstones and National Amusements

Los Angeles Times

The oft-foretold reunification of CBS Corp. and Viacom Inc. may be moving closer to reality. National Amusements Inc., the theater chain operator and investment vehicle of media mogul Sumner Redstone, is preparing to call on the two companies to consider merging, two people close to the matter said Wednesday. National Amusements, which controls 80% of the voting shares of Viacom and CBS, is preparing a letter to send to the two companies' boards this week, according to the two people, who declined to be named because the proposal is private. Analysts have long expected the Redstone family to try to put CBS and Viacom back together again. Since the two media giants split in 2006, CBS and Viacom have followed starkly different trajectories, with CBS building a broadcast ratings juggernaut while Viacom's stock fell sharply.


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The Viacom saga continues: National Amusements, the holding company through which Sumner Redstone controls Viacom, is looking for new Viacom board members. This isn't a shocker--speculation of a board shake-up began after George Abrams and Viacom CEO Philippe Dauman were removed from National Amusements' board a few weeks ago. On the list of potential board replacements, reports the Wall Street Journal, are former Time Warner exec Kenneth Lerer, ex-Sony Entertainment President Nicole Seligman, and former Discovery Communications CEO Judith McHale. Don't mess with Texas (drivers): Former Lyft and Uber drivers in Austin, TX say Uber and Lyft broke federal law when they abruptly stopped operations in the city. Drivers filed a suit in San Francisco (where the companies are based) saying the two ride-sharing services violated a law stating they needed to give sixty days' notice to employees before a'mass layoff'.