Increasingly under pressure to defend “new” Viacom’s sluggish stock performance since the split with CBS, Tom Freston has resigned—or was resigned—as Viacom president and CEO. To replace him, controlling shareholder and chairman Sumner Redstone has gone to familiar faces: the new president and CEO is Phillipe Dauman, a member of the Viacom board and co-chairman of private equity firm DND Capital Partners LLC. His co-chair and fellow board member Thomas Dooley will have the new position of senior EVP/chief administrative officer.
The choice of two PE execs to run the company might raise eyebrows but the two clearly are highly trusted by Redstone; they were deputy chairman from 1996-2000 and have held other major roles at the company.
The release is chock full of statements, none really saying anything. Take your pick. More to come.
Related: Earnings: Viacom 2Q06 Digital Revenues Up 58 Percent; Digital Ad Sales Rise 75 Percent
—Breaking Up Was The Easy Part For Viacom and CBS; Making It Pay Is Another Story
—Weekend Reading: Freston, Moonves Look Back, Forward As Viacom Split Nears