CBS Chair & CEO Michael Jordan announced his
resignation yesterday, and CBS COO Mel Karmazin "was
appointed the new top CBS executive," according to Bill
Carter of the N.Y. TIMES. Though the move "had been
anticipated" since Karmazin became COO last April, Jordan's
departure "was a mild surprise." Karmazin said that the
move was "a transfer of title only," as he said he has been
running all operations since April. Karmazin: "I thought
this was a nonevent. I didn't even want to issue a press
release. I have been running the company." Karmazin is the
largest CBS shareholder, with 1.5% of "the more than 700
million shares of stock" (N.Y. TIMES, 10/29). Karmazin will
formally take the title on January 1 (USA TODAY, 10/29).
People "close to" Jordan's decision said that while
"personal matters may have influenced his decision -- he
recently split from his wife of three decades -- he also
recognized that the job of transforming CBS from an
industrial company to a media concern was finished." Pope &
Lublin of the WALL STREET JOURNAL write that CBS "is deemed
by analysts to be ripe for a merger or sale" (WALL STREET
JOURNAL, 10/29). In N.Y., Jon Elsen writes that "despite
Karmazin's stated commitment to TV, most expect he'll
eventually sell. ... Barry Diller remains the likeliest
buyer" (N.Y. POST, 10/29). In related news, the HOLLYWOOD
REPORTER's Jill Goldsmith reports that Viacom Inc. Chair
Sumner Redstone said that his company "has no intentions of
buying NBC, despite rumors that he or Barry Diller ... were
moving in." Redstone: "Who will buy NBC? Not us -- that's
for sure" (Jill Goldsmith, HOLLYWOOD REPORTER, 10/29).
