Neural Newscast

[00:00] Evelyn Hartwell: From Nurtle Newscast, I'm Evelyn Hartwell.
[00:03] Frederick Moore: And I'm Frederick Moore.
[00:04] Evelyn Hartwell: Today is Thursday, February 26, 2026.
[00:10] Evelyn Hartwell: Warner Bros. Discovery is weighing a revised $77 billion offer from Paramount.
[00:18] Evelyn Hartwell: The deal could derail its pending merger with Netflix.
[00:21] Announcer: We also look at the global market reaction to President Trump's new 15% tariff mandate.
[00:27] Announcer: The media landscape faces a massive shake-up as political pressure and antitrust concerns collide in Los Angeles.
[00:35] Evelyn Hartwell: Warner Bros. Discovery announced Tuesday that a revised bed from Paramount Skydance might be better than its current deal with Netflix.
[00:43] Evelyn Hartwell: The new proposal values the company at $77 billion.
[00:47] Evelyn Hartwell: This comes out to $31 per share.
[00:50] Announcer: This update includes a $7 billion reverse termination fee.
[00:55] Announcer: That fee would apply if regulators decide to block the acquisition.
[00:59] Announcer: Paramount is also offering to reimburse Warner Bros. for any costs related to canceling the existing Netflix agreement.
[01:07] Evelyn Hartwell: Netflix now has four business days to respond if the board officially pivots to the Paramah offer.
[01:12] Evelyn Hartwell: Shareholders are currently scheduled to vote on the original transaction on March 20th.
[01:17] Announcer: The situation is complicated by external political pressure.
[01:21] Announcer: President Trump recently called for Netflix to fire board member Susan Rice.
[01:26] Announcer: He warned of unspecified consequences for its corporate decisions if the company does not comply.
[01:32] Evelyn Hartwell: There are also concerns about regulatory favoritism given the close relationship between the Ellison family and the president.
[01:39] Evelyn Hartwell: Antitrust experts warn that any merger of this scale will likely face intense federal scrutiny.
[01:45] Announcer: Netflix co-CEO Ted Serondos has argued that their deal would create more economic growth and lower costs for consumers.
[01:53] Announcer: However, former antitrust officials suggest the merger does not need to happen and should be challenged in court.
[02:00] Evelyn Hartwell: The board is keeping its options open while officially recommending the Netflix deal for now.
[02:06] Evelyn Hartwell: They mentioned they will engage further with Paramount to see if the price can be raised even higher, Frederick.
[02:11] Announcer: Analysts at Moffat Nathanson suggest that a $34 per share offer would effectively end the bidding war.
[02:19] Announcer: Until then, both streaming giants are locked in a fight for the future of traditional film assets.
[02:25] Evelyn Hartwell: Turning route to trade policy, President Trump has imposed a 15% tariff rate on global imports this week.
[02:32] Evelyn Hartwell: This move follows a Supreme Court decision that ruled his previous round of levies was illegal.
[02:37] Announcer: The sudden shift has triggered widespread confusion across international markets and supply chains.
[02:44] Announcer: Business leaders are struggling to adapt to the new rate while navigating the legal fallout of the court's ruling.
[02:53] Evelyn Hartwell: We will continue to track these developments as the March shareholder vote approaches.
[02:58] Evelyn Hartwell: I'm Evelyn Hartwell.
[03:00] Announcer: And I'm Frederick Moore.
[03:01] Announcer: Thank you for joining us.
[03:03] Announcer: Neural Newscast is AI-assisted, human-reviewed.
[03:07] Announcer: View our AI transparency policy at neuralnewscast.com.
[03:12] Frederick Moore: Neural Newscast uses artificial intelligence in content creation
[03:15] Frederick Moore: with human editorial review prior to publication.
[03:19] Frederick Moore: While we strive for factual, unbiased reporting,
[03:22] Frederick Moore: AI-assisted content may occasionally contain errors.
[03:25] Frederick Moore: Verify critical information with trusted sources.
[03:28] Frederick Moore: Learn more at neuralnewscast.com.