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The exterior of the Warner Bros. Discovery Atlanta campus is pictured after the Writers Guild of America started its strike in opposition to the Alliance of Motion Pictures and Television Producers, in Atlanta, Georgia, on May 2, 2023.
Alyssa Pointer | Reuters
Two Warner Bros. Discovery directors, Steven Miron and Steven Newhouse, are resigning following a U.S. Department of Justice investigation into a possible antitrust violation, in accordance with a company release Monday.
The firm stated Miron and Newhouse, who have been each appointed as directors in April 2022 as a part of the WarnerMedia and Discovery merger, have been being investigated as as to whether their participation on the board was in violation of Section 8 of the Clayton Antitrust Act, which largely prohibits the identical directors or firms from serving concurrently on the boards of opponents.
Miron is the CEO of privately held media firm Advance/Newhouse Partnership and a senior govt officer at Advance, which invests in media and expertise firms, in accordance with the discharge. Newhouse is co-president of Advance.
Both of their phrases on the Warner Bros. board have been set to run out in 2025.
Rather than contesting the DOJ matter, the corporate stated each Miron and Newhouse voluntarily elected to resign from their positions, efficient instantly. Neither director admitted any violation.
“We are proud to have performed a job within the constructing of this nice firm and stay a big stockholder. We are upset to depart the Board, however want to do the correct factor for WBD,” Newhouse stated in a press release.
In a Monday night assertion, the DOJ stated the conflicting firm is Charter, a Connecticut-based media firm which, just like Warner Bros.’ streaming platform Max, gives video distribution providers. According to the DOJ, Advance representatives held seats on each Warner Bros.’ board and Charter’s board.
“Today’s announcement is a win for customers,” Deputy Assistant Attorney General Michael Kades of the Justice Department’s Antitrust Division stated in a press release. “In enacting Section 8 of the Clayton Act, Congress was involved that opponents who shared directors would compete much less vigorously to offer higher providers and decrease costs. We will proceed to vigorously implement the antitrust legal guidelines when needed to handle overreach by companies and their designated brokers.”
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