Time Warner-Icahn Settlement: Biondi Gets $6 Million; Media Stock Malaise; Wasserstein’s Reputation

FT has a series of stories following the Time Warner-Icahn group settlement announced Friday.

FT 1: Among them, Frank Biondi, the executive designated to take over as CEO if the shareholder fight was succesful, was the happiest man. For his services, which amounted to a few weeks work, the long-time media executive was guaranteed $6 million, which he will now collect. The payday could be even bigger if there is any increase in Time Warner’s shares in the months ahead.

FT 2: On how Bruce Wasertein, CEO of Lazard, came out looking after the settlement: “When you sign up for the role you have to be right,” says one senior M&A banker at a competitor. “If you don’t have a well grounded position in terms of the truth then you’re just a show, a hired mouthpiece. Bruce was visibly and painfully wrong.” ONthe other hand, Bruce’s supportrs says that although the Lazard Report was greeted with indifference by the market, its contents represent one of the deepest and most professional pieces of work ever done by an investment bank on any of America’s largest companies.

FT 3: Even if there was a TW breakup, there was a realisation that the company’s shares were unlikely to rally until sentiment towards the entire media sector shifted.

Rupert Murdoch’s News Corp reported some of its best-ever results and the shares barely budged. Murdoch has invested heavily in expanding his internet presence, and, by the end of the decade, this could generate revenues of about $2bn. But even rapid growth in digital businesses will not have a significant effect on profits for some time.

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