Thomas Eagan: No Expectations for Viacom-CBS Merger

The transcript discusses the unlikely merger between CBS and Viacom, highlighting the potential market cap implications. It draws a parallel to Game of Thrones, noting the Red Stones' control over the trust. The discussion shifts to Viacom's business prospects, acknowledging their current challenges but suggesting a potential turnaround, similar to Time Warner's success with Turner.

Why does the speaker believe a merger between CBS and Viacom might not be sensible?

• Because CBS's market cap would fall, and Viacom's would need to rise significantly.

• Because Viacom's market cap would need to decrease.

• Because CBS's market cap would increase significantly.

• Because both companies would lose their market caps.

In the analogy to Game of Thrones, who is said to have the upper hand?

• Viacom

• The Red Stones

• Les Moonves

• CBS

What gives the Red Stones an advantage in the trust?

• They control the board of directors.

• They have four of the seven votes.

• They have a majority stake in CBS.

• They own all the shares.

What is noted about Viacom's revenue performance in the first quarter?

• It increased significantly.

• It remained stable.

• It declined year over year.

• It was the highest among media companies.

What example is given to suggest that a turnaround for Viacom is possible?

• CBS's recent success

• Time Warner's turnaround of Turner

• Viacom's past performance

• The Red Stones' influence