The King of Content
Page 39
21. By February, the Redstones struck a deal: Meg James and Claudia Eller, “Redstone Deal Lifts Threat to Empire,” Los Angeles Times, February 28, 2009.
22. In October 2009: Claudia Eller, “Sumner Redstone’s National Amusements Closes Deal to Sell 29 Theaters to Rave Cinemas,” Los Angeles Times, December 22, 2009.
23. Amid these crises: Merissa Marr, “Redstones File to Obtain a Divorce,” Wall Street Journal, October 22, 2008.
24. She felt isolated: Nikki Finke, “Redstone Family Woes: Now His Marriage,” Deadline Hollywood, August 3, 2007.
Chapter 18: Strange World
1. One summer evening in 2011: “Crazy Night Out with the Electric Barbarellas,” RumorFix, July 27, 2011, https://www.youtube.com/watch?v=YZXyS1KCM-Q.
2. A little over a year earlier: Peter Lauria, “Sumner Redstone and His All-Girl Band, the Electric Barbarellas,” Daily Beast, June 2, 2010.
3. A few weeks after: Peter Lauria, “Sumner Redstone Offers Reward to Get the Electric Barbarellas Leak,” Daily Beast, July 20, 2010.
4. The voice mail only made matters worse: Richard Johnson, “Sumner Basks in Bribe Uproar,” New York Post, July 22, 2010.
5. Another of Sumner’s: Sumner M. Redstone v. Manuela Herzer, Sydney Holland, and DOES 1–10; Sydney Holland’s Answer to Plaintiff Sumner M. Redstone’s Complaint, Los Angeles Superior Court, December 12, 2016, p. 20.
6. Since beating prostate cancer: Sumner Redstone interview with Larry King at the Milken Institute Global Conference in 2009.
7. “I have the vital statistics of a 20-year-old man”: Ibid.
8. He began work: Merissa Marr, “Redstone Daughter in Succession Mix,” Wall Street Journal, October 26, 2012.
9. “Viacom is me”: Redstone, A Passion to Win, 23.
10. It gave Dauman cover: Amy Chozick, “The Man Who Would Be Redstone,” New York Times, September 21, 2012; Michael Cieply, “Paramount Pictures Finds Long-Sought Balance,” New York Times, December 13, 2009.
11. While Viacom’s stock had: Loch Adamson, “Philippe Dauman Transforms Viacom,” Institutional Investor, September 2009.
12. MTV had its first: Dave Itzkoff, “Gym, Tan, Later: MTV Ending ‘Jersey Shore,’” New York Times, August 30, 2012.
13. Along with other grittier: Matthew Flamm, “MTV Gets Groove Back,” Crain’s New York Business, January 24, 2011.
14. Things were even turning around: Cieply, “Paramount Pictures Finds Long-Sought Balance.”
15. Meanwhile, Viacom’s top brass promised: Sandra Ward, “When Sumner Met Betty,” Barron’s, March 29, 2010.
16. By the end of 2010: Nat Worden, “Viacom CEO’s Pay More Than Doubled,” Wall Street Journal, January 24, 2011; Chozick, “The Man Who Would Be Redstone.”
17. In 2009, MTV Networks signed: “Netflix and MTV Networks Announce Deal to Stream ‘South Park’ and Trove of Nickelodeon Shows on Netflix,” PR Newswire, April 6, 2009.
18. In 2010, Viacom strengthened: Sue Zeidler and Jennifer Saba, “Netflix, Epix Strike Programming Deal,” Reuters, August 10, 2010.
19. “When satellite came”: Sam Schechner, “Boss Talk: Viacom CEO Tries to Keep the Party Going,” Wall Street Journal, November 1, 2010.
20. Paramount already had: Claudia Eller, “Paramount Extends Deal with Marvel,” Los Angeles Times, September 30, 2008.
21. Analysts initially believed: Matthew Ingram, “Six Years Later, Disney’s Acquisition of Marvel Looks Smarter Than Ever,” Fortune, October 8, 2015.
22. Sometimes Viacom missed out on hits: Hagey, “The Relationship That Helped Sumner Redstone Build Viacom Now Adds to Its Problems.”
23. One of Dauman’s first: Ibid.
24. Today, with investment from: Lukas I. Alpert and Shalini Ramachandran, “Vice Media Secures $450 Million Investment from Private-Equity Firm TPG,” Wall Street Journal, June 19, 2017.
25. Vice has since: Emily Steel, “At Vice, Cutting-Edge Media and Allegations of Old-School Sexual Harassment,” New York Times, December 23, 2017; Lukas I. Alpert and Amol Sharma, “BuzzFeed Set to Miss Revenue Target, Signaling Turbulence in Media,” Wall Street Journal, November 16, 2017.
26. He had her direct reports: Claire Atkinson, “Dauman Digs In,” New York Post, May 6, 2011.
27. The contract negotiations: Chris Smith, The Daily Show: An Oral History (New York: Grand Central Publishing, 2016), 318–19.
28. “Girls around here just”: Eric Bailey, “Silence Protects Youths Who Shattered a Girl’s Life,” Los Angeles Times, January 17, 1988.
29. After graduating from: William D. Cohan, “Who Controls Sumner Redstone?” Vanity Fair, June 2015.
30. By 2004, she appeared under: Los Angeles magazine, February 2004, classifieds.
31. She and her partner: Peter Elkind with Marty Jones, “The Disturbing Decline of Sumner Redstone,” Fortune, May 5, 2016.
32. In court papers, Sydney described: Holland v. Redstone, Complaint.
33. Sumner was, by his own lawyer’s description: Redstone v. Herzer, Complaint.
34. By early 2011, he asked: Ibid.
35. She handled: Redstone v. Herzer, Sydney Holland’s response.
36. By March 31, 2011: Redstone v. Herzer, Complaint.
37. Around this time, according to: Claire Atkinson, “The Explosive, Plotting Emails of Sumner Redstone’s Girlfriend,” New York Post, May 19, 2015.
38. “My grandfather was a visionary”: “De Lux Launch: National Amusements Showcases Its Legacy,” Film Journal International, September 17, 2009.
39. This same year, Shari began thinking about legacy: Interviews with Shari Redstone and Jason Ostheimer.
40. They were married in the garden: Carol Beggy, “Names,” Boston Globe, September 4, 2007.
41. Kim, a classic beauty: Keach Hagey, “Redstone Family’s Next Generation Takes on Bigger Roles, Influence in National Amusements,” Wall Street Journal, November 15, 2016.
42. Jason worked in private equity: Interview with Jason Ostheimer and Advancit biography.
43. In June 2011: Nat Worden, “Redstone Sells Russian Movie-Theater Chain,” Wall Street Journal, June 6, 2011.
44. Two months later: Meg James, “Shari Redstone Launches Her Own Investment Firm,” Los Angeles Times, August 27, 2011.
45. After a year: Merissa Marr, “Shari Redstone Adds Partner to Firm,” Wall Street Journal, July 9, 2013; SEC filing.
46. A third fund would aim to raise: SEC filing.
47. In August 2011, Netflix: Sam Schechner, “Viacom Net Falls 65 Percent Due to Charge, Lower Ad Revenue,” Wall Street Journal, February 2, 2012.
48. Almost immediately, Nickelodeon’s ratings: Claire Atkinson, “Nicked by Nielsen ‘SpongeBob’ Net’s Ratings Squeeze,” New York Post, December 1, 2011.
49. Analysts who had fretted: John Jannarone, “Viacom’s SpongeBob Crisis,” Wall Street Journal, May 2, 2012.
50. Dauman rejected this narrative: Schechner, “Viacom Net Falls 65 Percent Due to Charge, Lower Ad Revenue.”
51. But when ratings sank: Jannarone, “Viacom’s SpongeBob Crisis.”
52. Anticipating this criticism, Dauman: George Szalai, “Viacom CEO: Netflix Content Is Not Hurting Nickelodeon Ratings,” Hollywood Reporter, February 2, 2012.
53. The company said: Schechner, “Viacom Net Falls 65 Percent Due to Charge, Lower Ad Revenue.”
54. Viacom stock kept: Chozick, “The Man Who Would Be Redstone.”
55. A month after the Journal: Holland v. Redstone.
56. In 2009, he bought her: In Re Advance Health Care Directive of Sumner M. Redstone, Los Angeles Superior Court, Petition for Determinations Re Advance Health Care Directive of Sumner M. Redstone, November 25, 2015.
Chapter 19: “Our Family”
1. But, according to Manuela’s: Advance Health Care Directive.
2. By the time the red-haired: Redstone v. Herzer.
3. In April 2013: Holland v. Redstone.
4. While Sydney was in San Diego: Sydney Holland v. Heathe
r Naylor, Los Angeles Superior Court, August 30, 2013, Complaint.
5. Naylor sat Sumner: Elkind and Jones, “The Disturbing Decline of Sumner Redstone.”
6. Naylor denied having the laptop: Heather Naylor v. Sydney Holland, Los Angeles Superior Court, February 6, 2014, Cross-complaint.
7. She also alleged: Matthew Belloni and Eriq Gardner, “Sumner Redstone Embroiled in Girlfriend’s Legal War,” Hollywood Reporter, July 4–18, 2014.
8. In the wake of this dustup: Redstone v. Herzer.
9. Sumner’s lawyers alleged that Sydney and Manuela asked: Redstone v. Herzer, Complaint.
10. Sumner’s lawyers alleged that Sydney and Manuela blocked: Ibid.
11. Each got $45 million: Redstone v. Herzer and Herzer v. Redstone.
12. But Andelman had: Redstone v. Herzer, Deposition of David Andelman.
13. On May 26, 2014: Holland v. Redstone.
14. With this maneuvering in the background: Elkind and Jones, “The Disturbing Decline of Sumner Redstone.”
15. Keryn wouldn’t find out: In Re Advance Health Care Directive, Declaration of Keryn Redstone, April 14, 2016.
16. Shari’s spokeswoman: Keach Hagey, “Family Fight Heats Up in Redstone Lawsuit,” Wall Street Journal, April 20, 2016.
17. Over the summer of 2014: Holland v. Redstone.
18. Shari refused to sign: Redstone v. Herzer.
19. Nevertheless, at its annual: Viacom Inc. 2014 proxy statement.
20. CBS held its annual: Merissa Marr, “Media Mogul Sumner Redstone Cashes In,” Wall Street Journal, May 23, 2014.
21. CBS did not hike: CBS Corp. 2014 proxy statement.
Chapter 20: “Sharp as a Tack”
1. In September 2014: Redstone v. Herzer, Complaint
2. I want my $45 million back: Redstone v. Herzer, Declaration of Giovanni Paz.
3. Paz turned out: Ibid.
4. In the wake of his firing: Holland v. Redstone, Complaint.
5. A few days later: Redstone v. Herzer, Complaint.
6. And perhaps worst: Manuela Herzer v. Shari Redstone, Tyler Korff, Brandon Korff, Isileli ‘Isi’ Tuanaki, Jeremy Jagiello, Joseph Octaviano, Giovanni Paqz, Igor Franco, Faleolo Toia, DOES 1-50, Los Angeles Superior Court, May 9, 2016, Complaint.
7. “I just called”: Holland v. Redstone.
8. The next day: Redstone v. Herzer.
9. As the missives ostensibly from: Holland v. Redstone.
10. Viacom had performed better: Keach Hagey and Chelsea Delaney, “Viacom Aims to Bolster Ad Business,” Wall Street Journal, November 13, 2014.
11. Two months later, Dauman’s: Keach Hagey and Tess Stynes, “Viacom Extends CEO’s Contract by Two Years,” Wall Street Journal, January 15, 2015.
12. A week later, the company: Keach Hagey, “Viacom CEO Gets Increase of 19 Percent in Pay,” Wall Street Journal, January 26, 2015.
13. These incidents fit into: Redstone v. Herzer, Declarations of Jeremy Jagiello, Joseph Octaviano, and Giovanni Paz.
14. In Manuela’s legal filings: Herzer v. Redstone, Complaint.
15. In one email: Holland v. Redstone, Complaint.
16. Adult Protective Services: Redstone v. Herzer, Declaration of Jeremy Jagiello.
17. Given Sumner’s extreme: Holland v. Redstone, Complaint.
18. Octaviano got a peek: Redstone v. Herzer.
19. On April 9: Keach Hagey, “Year-Old Email Raises Questions about Sumner Redstone’s Condition,” Wall Street Journal, April 12, 2016.
20. At least two of these people: Keach Hagey, “Doctors Have Key Role in Fate of Sumner Redstone’s Company Stakes, Like Viacom,” Wall Street Journal, February 6, 2016.
21. In the end, calmer heads prevailed: Cohan, “Who Controls Sumner Redstone?”
22. Among the people shocked: William D. Cohan, “Why Sumner Redstone Really Kicked Sydney Holland Out,” Vanity Fair, September 21, 2015.
23. But in late August: Redstone v. Herzer.
24. On September 3, Sumner called in Bishop: Herzer v. Redstone.
25. He also removed Sydney: In Re Advance Health Care Directive, Declaration of Manuela Herzer in Support of Petition for Determination Re Advance Health Care Directive of Sumner M. Redstone.
26. Sumner agreed to loan her: In Re Advance Health Care Directive, Declaration of Keryn Redstone.
27. To make sure the changes stuck: Keach Hagey and Amol Sharma, “Battle Brews Atop Media Giant Viacom,” Wall Street Journal, October 7, 2015.
28. Soon after she arrived: In Re Advance Health Care Directive, Declaration Re Urgency and Notice on Ex Parte Application, Los Angeles Superior Court, November 25, 2015, Exhibit: “Removal and Replacement of Trustee Keryn Redstone 2015 Irrevocable Trust.”
29. Manuela claimed to Holbrook: Manuela Herzer v. Shari Redstone, Tyler Korff, Brandon Korff, Isileli “Isi” Tuanaki, Jeremy Jagiello, Joseph Octaviano, Giovanni Paz, Igor Franco, Faleolo Toia, and DOES 1–50, Los Angeles Superior Court, May 9, 2016, Complaint.
30. According to Sumner’s lawyer: Redstone v. Herzer.
31. Meanwhile, Jagiello was eavesdropping: Manuela Herzer v. Shari Redstone, Tyler Korff, DOES 1–10, United States District Court, Central District of California, October 16, 2017, Complaint.
Chapter 21: Sex and Steak
1. Meanwhile, media stocks: Frank Bi, “ESPN Leads All Cable Networks in Affiliate Fees,” Forbes, January 8, 2015.
2. On October 7, 2015: Hagey and Sharma, “Battle Brews Atop Media Giant Viacom.”
3. The Journal later reported: Hagey, “The Relationship That Helped Sumner Redstone Build Viacom Now Adds to Its Problems.”
4. The day after the article: In Re Advance Health Care Directive of Sumner M. Redstone, Los Angeles Superior Court, Opposition of Sumner Redstone to Ex Parte Application Seeking Evidentiary Hearing, November 25, 2015.
5. According to Sumner’s legal filings: Redstone v. Herzer.
6. According to Manuela’s: Herzer v. Redstone.
7. Manuela woke up: Ibid.
8. On October 16, Manuela was removed: Ibid.
9. Finally, on November 23, after a blizzard: In Re Advance Health Care Directive of Sumner M. Redstone, Los Angeles Superior Court, December 14, 2015, Declaration of Ronald Richards in Support of Petitioner’s Ex Parte Application for Discovery in Support of Response to Respondent’s Request to Dismiss Petition.
10. And so, immediately after Manuela: In Re Advance Health Care Directive of Sumner M. Redstone, Los Angeles Superior Court, November 25, 2015, Opposition of Sumner Redstone to Ex Parte Application Seeking Evidentiary Hearing.
11. Mario Gabelli, whose funds own: Keach Hagey, “Mario Gabelli Wants More Disclosures on Sumner Redstone’s Health,” Wall Street Journal, December 2, 2015.
12. Because of his earlier affidavit: Keach Hagey, “Viacom CEO Dauman Tries to Keep Distance from Redstone Lawsuit,” Wall Street Journal, January 19, 2016.
13. On January 20, Viacom: Keach Hagey, “Viacom Says Sumner Redstone’s Compensation Fell 85% in Fiscal 2015,” Wall Street Journal, January 20, 2016.
14. But when the full proxy: Keach Hagey, “Viacom CEO’s Total Compensation Rose 22 Percent in Fiscal 2015,” Wall Street Journal, January 22, 2016.
15. Instead, it would have to settle: Keach Hagey, “Viacom Chairman Must Face Acuity Test,” Wall Street Journal, January 23, 2016.
16. CBS went first, offering: Joe Flint, “Redstone Resigns as CBS Executive Chairman,” Wall Street Journal, February 3, 2016.
17. Briefly believing this meant: Keach Hagey, “Redstone Confidant Dauman Wins Power Struggle at Viacom,” Wall Street Journal, February 4, 2016.
18. In the wake of this major victory: Eriq Garner, “Sumner Redstone Hires New Lawyer in Battle over His Health Care,” Hollywood Reporter, March 16, 2016.
19. And so, by early April, Manuela’s: Keach Hagey, “Sumner Redstone’s Team in Settlement Talks in Competency Case,” Wall Street Journal, April 5, 2016.
20. A deal was hammered out: Hagey, “Year-Old Email
Raises Questions about Sumner Redstone’s Condition.”
21. The main attraction: In Re Advance Health Care Directive of Sumner M. Redstone, Los Angeles Superior Court, May 5, 2016, Videotaped Deposition of Sumner M. Redstone, 31 Beverly Terrace, Beverly Hills, CA.
22. The following Monday: Joe Flint and Keach Hagey, “Sumner Redstone’s Competency Suit Dismissed,” Wall Street Journal, May 9, 2016.