Moonves Scandal May Pave the Way for CBS-Viacom Merger
*By Amanda Weston*
As CBS's embattled chief executive Les Moonves faces an uncertain future amid allegations of sexual misconduct, the prospects of a merger between his television network and Viacom may improve, said [Tim Baysinger](https://www.thewrap.com/cbs-board-moonves-investigation-meeting/), a reporter for The Wrap.
"If the end result of this is that Moonves is out, then it immediately puts the CBS-Viacom merger back on the table," Baysinger said in an interview Tuesday with Cheddar. "Or if CBS appears weak enough, if their stock price starts dipping even more, it makes CBS itself a potential takeover target."
CBS's board of directors [decided Monday](https://cheddar.com/videos/the-future-of-les-moonves-and-cbs-corp-succession-plans) to keep Moonves as CEO while an outside counsel conducts an "independent investigation" of allegations by six former female employees that Moonves coercively touched or kissed them and intimidated them with physical force.
The allegations against Moonves coincide with a legal battle between CBS and National Amusements, which controls the network's former parent company Viacom. Controlling shareholder Shari Redstone has been trying to merge CBS and Viacom, a move Moonves opposes.
Baysinger said the scandal may work in Redstone's favor if the allegations against Moonves erode his opposition, weaken his influence, or further hurt the network's stock price.
In the New Yorker article, writer Ronan Farrow said that Moonves's accusers are uninterested in corporate politics and came forward before the scuffle with Redstone over the Viacom merger.
[In a statement](https://www.newyorker.com/magazine/2018/08/06/les-moonves-and-cbs-face-allegations-of-sexual-misconduct), Moonves admitted fault, but also said that CBS has generally "promoted a culture of respect."
"I recognize that there were times decades ago when I may have made some women uncomfortable by making advances," he said. "Those were mistakes, and I regret them immensely. But I always understood and respected—and abided by the principle—that ‘no’ means ‘no,’ and I have never misused my position to harm or hinder anyone’s career."
CBS's board Monday said it was looking to hire an independent counsel to oversee the investigation into the allegations but that "no other action was taken on this matter."
Baysinger noted the company didn't expressly say Moonves is staying on, so the board can still take action.
For more on this story, [click here](https://cheddar.com/videos/cbs-viacom-merger-could-be-more-likely-after-moonves-scandal),
Nvidia on Wednesday became the first public company to reach a market capitalization of $5 trillion. The ravenous appetite for the Silicon Valley company’s chips is the main reason that the company’s stock price has increased so rapidly since early 2023.
Chris Williamson, Chief Business Economist at S&P Global, breaks down September’s CPI print and inflation trends, explaining what it means for markets.
A big-screen adaptation of the anime “Chainsaw Man” has topped the North American box office, beating a Springsteen biopic and “Black Phone 2.” The movie earned $17.25 million in the U.S. and Canada this weekend. “Black Phone 2” fell to second place with $13 million. Two new releases, the rom-com “Regretting You” and “Springsteen — Deliver Me From Nowhere,” earned $12.85 million and $9.1 million, respectively. “Chainsaw Man – The Movie: Reze Arc” is based on the manga series about a demon hunter. It's another win for Sony-owned Crunchyroll, which also released a “Demon Slayer” film last month that debuted to a record $70 million.
The Federal Aviation Administration says flights departing for Los Angeles International Airport were halted briefly due to a staffing shortage at a Southern California air traffic facility. The FAA issued a temporary ground stop at one of the world’s busiest airports on Sunday morning soon after U.S. Transportation Secretary Sean Duffy predicted that travelers would see more flights delayed as the nation’s air traffic controllers work without pay during the federal government shutdown. The hold on planes taking off for LAX lasted an hour and 45 minutes and didn't appear to cause continued problems. The FAA said staffing shortages also delayed planes headed to Washington, Chicago and Newark, New Jersey on Sunday.
Boeing workers at three Midwest plants where military aircraft and weapons are developed have voted to reject the company’s latest contract offer and to continue a strike that started almost three months ago. The strike by about 3,200 machinists at the plants in the Missouri cities of St. Louis and St. Charles, and in Mascoutah, Illinois, is smaller in scale than a walkout last year by 33,000 Boeing workers who assemble commercial jetliners. The president of the International Association of Machinists says Sunday's outcome shows Boeing hasn't adequately addressed wages and retirement benefits. Boeing says Sunday's vote was close with 51% of union members opposing the revised offer.
