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Paramount Parks to be Divested


The Interpreter
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Actually, in many companies the selling company's stockholders would have to vote...but not here. CBS Corporation is controlled by Sumner Redstone, who has majority control of the company. My comment about Cedar Fair had to do with the fact that that company is set up as a limited partnership...in that type of arrangement, common stockholders share in the profits, but not the operations of the company.

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The only real voting stockholders get to do is to approve (or withhold approval) for a proposed slate of directors.

Isn't business grand? You can either vote for the board members, or choose not to vote at all. Roy E. Disney started a campaign to get people NOT to vote for Michael Eisner, and had something like a 30% success rate.

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I think it can fairly be said that without Mr. Disney's unrest, Mr. Eisner would still be safely ensconced. (defined: safely in place, comfortable).

Mr. Disney was an irritant to Mr. Eisner, and gradually wore him down and won others to his cause. And his public withdrawal from his campaign to drive out Eisner did not necessarily mean that he was no longer still working to get him out. He was.

No, it wasn't the only reason. But it was almost certainly a reason that without which, Mr. Eisner would have survived to keep doing what was he doing to Disney.

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The book "Disney War" by James Stewart tells this whole story in fantastic detail. Of the many Disney books I have read, this one is by far the best (with Kim Lemaster's "Keys to the Kingdom" running a close second...)

I think it's safe to say that the 45% no-confidence vote, and losing the chairmanship of the board at the 2004 Philadelphia meeting pretty much sealed Eisner's fate... Although, Roy Disney didn't necessarily get everything the way he wanted it, the stock has rebounded and bottom-line--that was Roy's biggest concern.

At the 2006 shareholder meeting, Iger was cheered by the stockholders...what a difference a few years (and a new leader) makes.

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...Speaking at an investor conference hosted by Bank of America, Chief Financial Officer Fredric Reynolds.....said the process to sell Paramount Parks is "well under way." The media group also plans to sell "a couple" of TV stations as well as some radio stations this year, he added....

http://tinyurl.com/r68gj

This article was originally published last Wednesday, but none of the 'insiders' here who supposedly know what is going to happen to the parks ( tongue.gif ) have posted it, so...

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