CBS rises as it reportedly begins settlement talks with embattled CEO Les Moonves
Getty / Drew Angerer
- The CBS board is in settlement talks with CEO Les Moonves for his exit from the company, CNBC reported Thursday.
- Shares of CBS fell as much as 3% in early trading, before rising into the green.
- Follow CBS' stock price in real-time here.
After initially dropping ahead of the open, shares of CBS rose about 0.5% Thursday after CNBC reported the broadcaster was in settlement talks with CEO Les Moonves for his exit from the company following sexual-misconduct allegations brought against him by six women.
If the talks are successful, Moonves' right-hand man, COO Joe Ianniello, will serve as interim CEO, CNBC reported, citing people close to the negotiations.
A sticking point is Moonves' exit package, according to the report. While his contract would entitle him a golden parachute of up to $180 million, the board is reportedly offering him about $100 million given the ongoing investigation into sexual harassment claims against him. The board is also reportedly seeking the right to claw back a portion of that package depending on the findings of the investigation.
Moonves' potential exit from CBS comes at a time of twin sources of turmoil for the company. CBS' stock is down 11% this year and has lost nearly a third of its value since hitting a high of $70 in April 2017.
CBS declined to comment to CNBC and did not immediately respond to a request for comment from Business Insider.
Nathan McAlone contributed to this report.