Viacom Board to Meet Thursday Night to Discuss Philippe Dauman Exit (Report)

CEO will reportedly be replaced by COO Tom Dooley as part of the deal with Sumner Redstone

Last Updated: August 18, 2016 @ 5:47 PM

Viacom’s board members will reportedly meet on Thursday night to discuss a settlement deal with founder Sumner Redstone over the company’s executive leadershp, according to Reuters.

CEO Philippe Dauman is expected to step down from his decade-long reign at Viacom as part of a potential deal, according to the Los Angeles Times, and will exit with a golden parachute package worth as much as $85 million.

He is expected to be replaced by Chief Operating Officer Tom Dooley, who first joined Viacom in 1980 and has held his current position since 2010.

News of the meeting comes two days after the Times reported that the two sides were nearing a deal in the ongoing legal battle between the Redstone family and company leadership.

The paper also reported that as part of the settlement, Sumner and Shari Redstone, who lead Viacom parent company National Amusements Inc., are also demanding that Viacom’s current board members drop their opposition to the installation of five new directors, a move announced in June that board members have sought to block in the courts.

Current board members are seeking to add provisions to prevent the Redstones from “unilaterally” dictating the actions of Viacom and CBS, the Times said.

Together, Shari and Sumner Redstone own nearly 80 percent of the voting shares of both media companies.

The L.A. Times also reported that the two parties have yet to reach an agreement regarding Dauman’s proposal to sell a 49 percent stake in Paramount Pictures, a move strongly opposed by the Redstones.

In June, National Amusements unilaterally changed Viacom’s bylaws to require that any sale of Paramount receive a unanimous vote from Viacom’s board.