Paramount Threatens California Exit
Paramount is weighing leaving California as officials scrutinize its Warner Bros. merger.
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Updated Aug 12, 8:33pm ETEvery side, every morning
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The reporting
California Attorney General Rob Bonta accused Paramount Skydance of “blackmail” after CEO David Ellison threatened to begin moving operations out of California as soon as October 1 unless Bonta enters settlement talks over the company’s planned $110 billion Warner Bros. Discovery takeover. Bonta leads a 12-state antitrust lawsuit seeking to block the deal. Paramount is keeping a potential CNN sale on the table to address antitrust concerns. DGA, IATSE and Democratic gubernatorial candidate Xavier Becerra urged a settlement, while Rep. Jamie Raskin sought an interview with Ellison.
Analysis & opinion
Ellison pressure tacticsBalanced
David Ellison is using hardball pressure and leverage to keep the Warner Bros. Discovery takeover alive. Xavier Becerra’s push for California to settle is presented as a sign that Ellison’s tactics are working rather than as a neutral intervention.
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