Sumner Redstone isn’t short of cash, but the Viacom chairman emeritus and billionaire will have to make do with $2 million less after the media giant’s board of directors today voted to cut his compensation. With a contentious court battle over Redstone’s competency seeming over for now, Wednesday’s vote also comes less than six months after it was made public that the mogul and main shareholder’s Viacom pay was slashed 85% in fiscal 2015 from the $13 million of 2014. A source close to events confirmed today’s board vote to Deadline.
Viacom stock dipped a bit in after hours trading on Wednesday.
Today’s corporate action also comes with Redstone having resigned as the executive chairman of both CBS and Viacom in early February. Longtime CEO Philippe Dauman was voted into the chairmanship on February 4 over the objections of Shari Redstone. The older Redstone and his trust still control about 80% of the voting shares at Viacom and CBS, and therefore an estimated $40 billion in media assets. Redstone now no longer is a named executive in Viacom and will not show up in this year’s proxy as such.
With the end of the case Redstone’s ex-companion and former health care agent instigated in November, the younger Redstone has taken over from NYC-based Dauman as the person in charge of her father’s care if the ailing 92-year-old can’t make decisions himself.
The news of the cut of Redstone’s compensation was first reported by CNBC.