Paramount’s Co-CEOs to Get Paid Even If They’re Not the Boss

(Bloomberg) -- Paramount Global’s three co-chief executive officers will continue to receive their improved annual cash bonuses while they’re at the film and TV company, whether they stay as CEOs or not.

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The executives also received a $3 million share grant as of Oct. 8, according to a regulatory filing Tuesday. If they are demoted from their current positions, they will be able to resign for “good reason” and collect severance payments.

Paramount, the parent of CBS, MTV and other media businesses, is in the process of merging with David Ellison’s Skydance Media, an independent film and TV studio. Ellison, the son of Oracle Corp. co-founder Larry Ellison, is scheduled to become CEO of Paramount when the deal closes in the first half of next year.

Chris McCarthy, George Cheeks and Brian Robbins, who ran Paramount’s cable channels, broadcast and film businesses, respectively, were named co-CEOs in April following the departure of Bob Bakish.

The Paramount situation, with three co-executives who might stick around, is “a little odd,” according to Charles Elson, founding director of the Weinberg Center for Corporate Governance at the University of Delaware.

“It is a lot of money to not be CEO,” he said.

(Updates with governance expert in last paragraph.)

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