Viacom’s Interim CEO Steps Down

NEW YORK: Tom Dooley, the interim president and CEO of Viacom, is exiting the company as of November 15.

Dooley said: “While this was a difficult decision for me, I have great admiration for our new board and I feel that they will be best able to execute on their vision for the company in the hands of a new president and CEO. I am certain that the board will make the most of the company’s extraordinary potential. I want to thank Sumner, Shari and the members of the board for the opportunities they have provided me. I look forward to working with them to deliver Viacom into the hands of new leadership in excellent shape and poised for a remarkable future.”

The news came as Viacom’s board unveiled measures it’s taking to improve the company’s financial flexibility. Viacom is reducing its dividend payout “to preserve capital” and will proceed to access debt capital markets in the near term to improve liquidity. The company has also ended the process of seeking a minority investor in Paramount Pictures.

“The board believes Viacom has a product strategy that is among the best in the industry. The steps we are taking will make the company financially stronger and more flexible and will position Viacom to take advantage of future growth opportunities,” said Tom May, the chairman of the board at Viacom. “I am pleased that Tom Dooley has agreed to stay on as interim president and CEO through November 15 to allow the board to conduct an orderly succession process.”

Shari Redstone, vice chair of the board, said, “I have been energized by the passion, commitment and ideas put forward by our newly-expanded board and members of Viacom’s senior team. While there is more work to do, the actions announced today are an important first step towards realizing the value of Viacom’s exceptional assets and positioning the company for the future. I also want to thank Tom Dooley for his service and his willingness to stay on through this transition period.”