NEIL?
NEIL: OKAY.
HILLARY, THANK YOU VERY, VERY
MUCH.
HILLARY VAUGHN.
MEANTIME, IT STARTED WITH
CHARLIE GASPARINO REPORTING ON
THE CBS AND REDSTONES AT IT.
ALL OF A SUDDEN THERE GETS TO BE
MOVEMENT AND ACTIVITY IN THE
STOCK.
EVERY ONE TALKS ABOUT IT.
EVERY ONE WRITES ABOUT IT.
HERE HE IS IS TO FOLLOW UP ON
IT, CHARLIE GASPARINO.
WHAT THE HECK IS HAPPENING NOW?
>> LET'S BACK UP A MINUTE.
IT IS A INCREDIBLE CASE.
THE DELAWARE CHANCERY COURT
AJUDICATE BIG ISSUES, ARE
CERTAIN PARTIES FOLLOWING RULES.
THINK ABOUT WHAT THEY'RE SAYING
DOING TOMORROW.
THEY WILL DESIRE WHETHER
CONTROLLING SHAREHOLDER OF A
COMPANY, A FAMILY-OWNED COMPANY,
IN THIS CASE THE RED STONES,
SHARI, SUMNER.
NEIL: SHARI IS THE DAUGHTER,
OSTENSIBLY RUNNING THINGS.
>> SUMNER IS AILING, WHY SHARI
IS RUNNING THINGS.
SUMNER, LONG TIME TAKEOVER
ARTIST, MEDIA MOGUL, YOU NAME
IT, THE COURT WILL DECIDE
WHETHER THE BOARD OF CBS AND
MANAGEMENT CAN TAKE CONTROL OF
THE COMPANY AWAY.
AND, AND THAT BOARD IS BEING LED
BY LES MOONVES, LONG TIME CEO.
NEIL: DOES NOT WANT THIS
AMERICANWER VIACOM.
>> DOES NOT WANT THE MERGER THAT
SHARI IS FORCING DOWN HIS
THROAT, VIACOM --
NEIL: THEY'RE SUING OVER IT.
>> THEY'RE SUING OVER IT.
THAT IS THE INJUNCTION.
HERE IS HOW SMART LES MOONVES
IS.
HE THINKS HE HAS A STRONG LEGAL
GAME.
WHAT I'M HEARING FROM PEOPLE
INSIDE CBS HE THINKING LONG
TERM.
HE WANTS TO RUN CBS.
THAT IS HIS FIRST GOAL,
BASICALLY RUN IT SOLO BUT HE IS
ACTUALLY THINKING LONG TERM,
CONCEDING TO PEOPLE INSIDE OF
CBS, WE GOTTEN IT FROM SOURCES
INSIDE THE COMPANY THAT THE
ULTIMATE OUT COME OF ALL THIS,
IF WINS, WRESTS CONTROL OF CBS
FROM THE RED STONES WOULD BE
SALE AND MERGER OF CBS IT IS
ALMOST INEVITABLE THAT THIS WILL
COME UP.
CONTENT PLAYS, PARTICULARLY WITH
ALL THE STUFF GOING ON, CORD
CUTTING, THE FACT THAT YOU HAVE
BIG TECH INVOLVED IN MEDIA, AND
ENTERTAINMENT, THE CONTENT CBS
HAS WILL BE CONSIDERED TAKEOVER
BAIT.
NEIL: HASN'T SHE COUNTERED, YOU
DON'T DO THIS, YOU'RE OUT, EVERY
MEMBER OF THE BOARD IS OUT?
>> THAT IS THE SEPARATE
ARGUMENT.
LET'S SAY HE WINS.
NOW THE THING IS, HE HAS TO WIN.
AND THIS IS GETTING CRAZY
WHICH --
NEIL: BUT IF HE DOESN'T, HE IS
GONE.
PRESUMABLY THE BOARD COULD BE
GONE.
>> YEAH.
GUESS WHAT, HE DOESN'T CARE.
NEIL: HE DOESN'T CARE.
>> DOESN'T CARE FOR TWO REASONS.
ONE HE THINKS HE WILL GO DOWN IN
HISTORY AS A SHAREHOLDER
ACTIVIST, VIACOM ASSETS,
NICKELODEON AND MTV ARE KIND OF
CRUMMY.
HE THINKS THE PRICE THEY'RE
SHOVING DOWN HIS THROAT IS WAY
TOO HIGH FOR THESE CRUMMY
ASSETS.
NUMBER THREE, HE WALKS AWAY WITH
THIS ENORMOUS COMPENSATION
PACKAGE.
ANYTHING BETWEEN WHAT I HEARD,
GETTING THIS FROM BOARD MEMBERS
INSIDE OF THE PLACE, I DON'T
HAVE THE DOCUMENTS, THEY'RE
ESTIMATING, ANYWHERE BETWEEN
150 MILLION AND 200 MILLION.
NOT ONLY THAT --
NEIL: HE WINS EITHER WAY.
>> NOT ONLY THAT, THEY HAVE TO
ALLOW HIM TO DO SOME MOVIE
PRODUCTION OR PRODUCTION OF
CERTAIN PROGRAMING.
HE IS STILL GOING TO HAVE A LOT
OF FUN AND BE RICH.
SO HE IS LOOKING AT THIS --
NEIL: HE WOULD BE HIGHEST PRICED
FREE AGENT OUT THERE IN
ENTERTAINMENT.
>> NEXT TWO DAYS WILL BE HUGE.
THE CHANCERY COURT, THINK ABOUT
IT, IF THEY WEIGH IN ON THIS IN
MOONVES'S FAVOR, THEY TOLD EVERY
FAMILY-OWNED MEDIA COMPANY, WE
WORK FOR ONE OF THEM, YOU COULD
BE THEORETICALLY UPENDED BY YOUR
BOARD IF YOU DON'T HAVE MAJORITY
SHARE.
THESE COMPANIES ARE GENERALLY
CONTROLLED BY FAMILIES.
THEY HAVE THE CONTROLLING
SHAREHOLDERS.
THEY'RE NOT BIGGEST
SHAREHOLDERS.
WHAT THE DELAWARE COURT WILL BE
SAYING, IT DOESN'T MATTER IF
YOU'RE CONTROLLING ANYMORE, YOU
CAN BE UPENDED IN THIS WHOLE
SCHEME.
NEIL: THE BLOOM IS OFF THIS
RELATIONSHIP ROSE HERE.
IT WAS ALWAYS ICY TO BEGIN WITH,
BUT AT LEAST THEY WOULD FIND A
WAY TO BE QUASI-CIVIL.
>> WELL I THINK, TO BE HONEST
WITH I THINK LES MOONVES
RESPECTED SUMNER WHEN HE WAS
WILLING AND ABLE, WHEN HE WAS OF
SOUND MIND.
HE DOES NOT RESPECT SHARI
REDSTONE'S BUSINESS ACUMEN, DOES
NOT.
NEIL: STAY TUNED.
>> YEP.