Today I’ll be tracking today’s Time Warner Investor Day gathering in New York — the first one it has held since 2010. It’s important: Investors have seen the value of their shares melt by 18.5% since mid-July to $70.64 yesterday. Shareholders became excited after word got out that Rupert Murdoch’s 21st Century Fox offered to buy the company for $85 a share, or $80B, and fell after CEO Jeff Bewkes rejected the bid. He said that his strategies would generate more value.
He’ll have to overcome a lot of skepticism to prove that he is right. Overall ratings at his Turner networks are down, the ad market is soft and programming costs are growing especially for sports. Turner just announced that it’s laying off about 10% of its workforce. And the year-over-year domestic box office for Warner Bros. films is down about 15%.