Paramount and California AG Meet to Discuss Antitrust Settlement
Paramount Pictures and California Attorney General Rob Bonta met on in California to discuss a settlement of the antitrust lawsuit challenging Paramount's proposed acquisition of Warner Bros. Discovery. The lawsuit, filed by Bonta and a coalition of twelve Democratic state attorneys general, seeks to block the $111 billion merger on grounds that it would reduce competition and depress wages. Paramount CEO David Ellison had earlier warned he might relocate the studio out of California and asked a federal court to require plaintiffs to post a $1. 88 billion bond to cover daily penalty fees.
Unions including the Writers Guild, Directors Guild and IATSE urged faster resolution. The parties filed a joint discovery schedule, according to Deadline, and Paramount secured Mexican antitrust clearance, reported by Variety. Industry groups such as Cinema United and theater owners have called for negotiations, while a Los Angeles County study, cited by Variety, estimated the deal could cut about 4,500 production jobs. Bonta later said any settlement would need strong structural remedies, CNBC reported.