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David Zaslav’s WBD-Paramount deal payout highlights new ‘golden parachutes’ for CEOs

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David Zaslav’s WBD-Paramount deal payout highlights new ‘golden parachutes’ for CEOs


Warner Bros. Discovery CEO David Zaslav‘s potential payout of more than $800 million from the Paramount Skydance deal highlights an obscure tax rule originally designed to limit CEO pay.

According to SEC filings, Zaslav could collect hundreds of millions of dollars in severance and other stock awards and payments following Paramount’s acquisition of WBD. The payments include about $500 million in share awards, about $115 million in vested stock awards and $34 million in cash, according to the filings.

The deal also includes up to $335 million in potential payments to Zaslav for what’s known as the “golden parachute” excise tax. The tax was originally created by Congress in the 1980s to limit what many considered to be outsized payouts to chief executives upon a change of control or sale of their companies. The tax, of 20%, kicks in when an executive’s payout exceeds three times their typical base salary and target annual bonus.

As part of the acquisition, Paramount agreed to pay Zaslav’s excise tax if his other payments trigger the tax. The reimbursement declines over time and drops to zero if the deal closes in 2027. Paramount has said it is aiming to close the deal, pending regulatory approval, by this fall.

The Paramount board said the reimbursement would be paid by Paramount, not Warner shareholders.

Without the payment, known as a “gross up,” the board said “Mr. Zaslav would be at a substantial disadvantage in terms of excise tax exposure relative to the previously proposed transaction with Netflix,” which wouldn’t have involved a golden parachute tax.

Zaslav’s payout from the deal is expected to be around $667 million without the tax.

Management experts have said that rather than limiting pay, the golden parachute rules have instead incentivized CEOs to sell their companies and reap ever-higher rewards. The tax has also led companies, and their shareholders, to spend even more to pay the special taxes.

“Over time, especially as executive compensation radically shifted toward stock-based pay, golden parachutes have become increasingly lucrative, platinum in many cases,” Jeffrey Gordon, co-director of Columbia Law School’s Ira M. Millstein Center for Global Markets and Corporate Ownership, wrote in a paper. “Even if there is pain among those who are laid off when the firm is sold and layoffs occur, there is plainly one winner: the CEO with a golden parachute.”

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Correction: Paramount Skydance is acquiring Warner Bros. Discovery. A previous version of this story mischaracterized the deal.

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Ads for British beef and milk banned following Chris Packham complaint

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Ads for British beef and milk banned following Chris Packham complaint



Two ads promoting British beef and milk have been banned after television presenter and environmental campaigner Chris Packham complained that they misled consumers about the products’ carbon footprints.

Both ads for the Agriculture and Horticulture Development Board’s (AHDB) Let’s Eat Balanced campaign used the carbon footprint of British beef and milk to promote the products, firstly stating: “British beef not only tastes great, but has a carbon footprint that’s half the global average*.”

The asterisk linked to text that stated: “Full lifecycle emissions of CO2 eq (carbon dioxide equivalent) per kg of beef.”

The ad for milk stated: “British milk not only tastes good, but is also produced to world-class standards, and has a carbon footprint a third lower than the global average.”

Packham complained to the Advertising Standards Authority (ASA) that the ads, and specifically the carbon footprint claims, were misleading as they did not reflect the full environmental impact of British meat and dairy.

The AHDB said the ads’ mention of carbon emissions would be understood in relation to the environmental impact of beef and milk that occurred between the “cradle-to-retail” stages.

But the ASA said the average consumer “being reasonably well-informed, observant and circumspect” would understand the claims to apply beyond the retail stage and include actions such as cooking and wastage.

The ASA said: “While we acknowledged the potential difficulties in producing post-retail emissions data, the claims in the ads suggested those emissions were included and we therefore expected the evidence provided to also include them.

“We therefore concluded that the evidence presented was insufficient to support the full life-cycle claims in the ads, which was how the average consumer was likely to interpret them.

“We reminded AHDB that environmental claims should be based on the full life cycle unless the ad stated otherwise.”

AHDB’s director of communications and market development, Will Jackson, said: “Let’s Eat Balanced is doing what it was designed to do, providing clear, factual, evidence-led information about British food, nutrition and farming standards.

“Since the investigation began, we have conducted independent consumer research which found that the majority of respondents interpreted these adverts as relating to the production phase only, from farm to retail.

“This research provides important insight into consumer understanding and supports our belief that consumers were not misled by the information we shared in these two specific adverts.”



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Gen Z pros embrace ‘portfolio careers’ as side hustles surge – The Times of India

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Gen Z pros embrace ‘portfolio careers’ as side hustles surge – The Times of India


BENGALURU: India’s Gen Z workforce is embracing what experts describe as “portfolio careers” – balancing multiple professional identities and income streams simultaneously. New research from LinkedIn shows that 75% of Gen Z entrepreneurs in India now manage multiple income streams, significantly higher than the 62% among Gen X entrepreneurs. The findings point to a growing preference among younger professionals for flexibility, autonomy and diversified sources of income. “We’re also seeing the rise of the ‘portfolio era’, with more professionals creating multiple income streams and redefining what a career can look like. This shift is making entrepreneurship more accessible than ever before,” said LinkedIn India country manager Kumaresh Pattabiraman.Rather than depending on a single full-time role, many professionals are simultaneously building businesses, freelancing, consulting, creating online content and monetising specialised skills through digital platforms. The trend comes amid a broader rise in entrepreneurial activity in India. LinkedIn recorded a 104% year-on-year increase in members adding “Founder” to their profiles – the highest growth among all global markets.AI is also emerging as a major enabler of this shift. The report found that 85% of Gen Z entrepreneurs consider AI and digital tools important to their business operations.



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Elon Musk said control of OpenAI should go to his children, Sam Altman tells jury

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Elon Musk said control of OpenAI should go to his children, Sam Altman tells jury



Sam Altman said Elon Musk tried many times for total control of OpenAI, which he’s now suing.



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