So What Is Viacom?

According to the companies website; "Viacom is a leading global media company, with preeminent positions in broadcast and cable television, radio, outdoor advertising, and online.  With programming that appeals to audiences in every demographic category across virtually all media, the company is a leader in the creation, promotion, and distribution of entertainment, news, sports, and music." This is a very diversified conglomerate with companies and operations around the world. And what they own can be divided into seven categories:

TELEVISION
 Consisting of the CBS(R) and UPN(R) television networks, 39 owned broadcast television stations,
 and the Company's television production and syndication business, including KING
     WORLD PRODUCTIONS(TM) and PARAMOUNT TELEVISION(TM).
This can be considered the largest and most well know segment of the Viacom empire    

 

CABLE NETWORKS
  The Cable Networks segment operates MTV: MUSIC TELEVISION(R),
SHOWTIME(R), BET: BLACK ENTERTAINMENT TELEVISION(R)
NICKELODEON(R), NICK AT NITE(R), VH1 MUSIC FIRST(R),
TV LAND(R), TNN: THE NATIONAL NETWORK(TM) and
CMT: COUNTRY MUSIC TELEVISION(TM),
 they also jointly own COMEDY CENTRAL(R) with HBO
(it's pretty much the only channel I watch).



  Broadcasting / Advertising
 The Broadcasting segment operates 184 radio stations through
     INFINITY BROADCASTING(R), and outdoor advertising properties through
     INFINITY OUTDOOR(TM) (Billboards, Bus Stop Posters, ect Advertising) and TDI(R).



ENTERTAINMENT
 The Entertainment segment includes PARAMOUNT PICTURES(R),
     which produces and distributes theatrical motion pictures; PARAMOUNT
     PARKS(R), which owns and operates five theme parks and a themed
     attraction in the U.S. and Canada; and movie theater and music
     publishing operations.
(King's Island Rules!)




  VIDEO
The Video segment consists of an approximately 82% equity
     interest in Blockbuster Inc., which operates and franchises
     BLOCKBUSTER(R) video stores worldwide.
(I hate Blockbuster! They keep calling me
" we need the copy of Minority Report returned immediately"
And I know they don't cause they have like 300 copies of it, they're just being greedy...)

 


PUBLISHING
 The Publishing segment publishes and distributes consumer
     books and related multimedia products, under such imprints as SIMON &
     SCHUSTER(R), POCKET BOOKS(TM), SCRIBNER(R) and THE FREE PRESS(TM).




 ONLINE
The Online segment provides online music and children"s
     destinations through Internet sites related to MTV: MUSIC TELEVISION,
     NICKELODEON, NICK AT NITE, VH1 MUSIC FIRST, and CMT: COUNTRY MUSIC
     TELEVISION, as well as SonicNet.com, and NickJR.com. In addition,
     CBS.com offers a broad range of informational, entertainment, news and
     promotional services. Since January 1, 2001, the Company has
     presented its online businesses as part of the Cable Networks and
     Television segments.

Is it a Conglomerate?
Yes, Viacom  is one of the best examples of what a comglomerate is. A corporation made up of a number of different companies that operate in diversified fields.

Is it Globalized?
You bet your butt it is. Just looking at MTV, it reaches over 340 million households throughout the world with MTV, MTV: ASIA,
MTV: BASIL, MTV: EUROPE, MTV: LATIN AMERICA, and MTV: RUSSIA.

Is there evidence of horizontal integration?
Heck yeah. You can litteraly watch TV all day and never watch a channel not owned by Viacom. And with four Publishing Companies, you can read as much as you want as well. Cause too much TV is bad for you, but not reading! It's fun-da-mental! (I saw it on TV once, the reading is fun-da-mental thing.)  

Is there evidence of vertical integration?
And still yes! Owning TV, Cable, and Radio Stations, not to mention Online Internet Sites, they're everywhere!

Any examples of media synergy?
no. Ok, I fooled ya! there is. I was just running out of different ways to say yes.  the best example of this is the TV and online match-up, where you can go to Nickelodeon.com after watching Spongebob Squarepants, and join the Spongebob Club! Oh boy!

 

How Much Money Do They Have?

Annual Income:   Revenue $20.3 billion  as of 2000 from Boadcasting & Cable

Number of Employees: Unknown. But if you take into account all the companies they own, the number could be in the hundred thousands easily.

Stock Ticker Symbol: VIA B  How's it doing in the market?

Stock Exchange: NYSE

 SEC form 10-k filed march 28th 2001

 PR version of annual report

My highly opinionated assesment of their financial condition:
They're rich, so they can only get richer. But so far this year, the stock has fallen more than five points since January. Now thats not so rare right now in this market.  I believe by this summer It will start to go back up, and by next year it should be holding between 39-42. If we do go to war, certain segments might suffer (Paramount Amusement Parks), but the increase in the other segments should more than make up for the lag in profits(increased watching of TV for war coverage).

How'd They Get Here?
This is a timeline from ketupa.net, a global media resource

1908 Hodgkinson forms Paramount studios
1916 Zukor and Lasky's Famous Players cinema chain buys Paramount
1924 Simon & Schuster founded
1927 Columbia Broadcasting System (CBS) formed
1928 Paley buys CBS
1938 CBS buys Columbia Records (formed 1889)
1949 US Department of Justice forces Paramount and other studios to spin off their cinema operations. United Paramount Theatres is established (later buys ABC television network)
1954 Sumner Redstone gains control of National Amusements Inc (NAI), builds multinational cinema group
1963 CBS Records sets up first European branch, in UK
1965 CBS buys New York Yankees
1966 Gulf+Western conglomerate buys Paramount, one of Hollywood’s original movie studios
1968 CBS-Sony Records founded in Japan as a joint venture
1971 Viacom formed when FCC rules force CBS to spin off some of its cable TV and program-syndication operations

     1972-94

1979 Viacom buys WAST-TV (later WNYT-TV)
1980 buys Egmont Sonderling broadcasting group (no relationship with Egmont)
1982 Tri-Star Pictures formed by CBS television, HBO (Home Box Office) and Columbia Pictures
1982 Viacom donates WWRL radio to United Negro College Fund
1985 Laurence Tisch buys 25% of CBS to thwart Turner bid
1985 Blockbuster video rental chain founded
1987 NAI buys majority interest in Viacom
1987 Blockbuster acquired by waste magnate Wayne Huizenga
1988 Sony Corp buys CBS Records' global business for US$2 billion
1988 Blockbuster buys Video-Library chain, increasing its stores to 415
1990 Blockbuster adds Applause Video, Video Express, Movie Emporium, and other chains - stores now exceed 1,500
1992 Blockbuster becomes largest video renter in UK after purchase of Cityvision chain of 875 stores
1992 Blockbuster buys two of US biggest music retailers, Sound Warehouse and Music Plus, and begins music "Megastores" in joint venture with Virgin Retail Group
1993 Blockbuster buys 35% of Republic Pictures
1993 Blockbuster Entertainment Corporation invests US $600m in Viacom, telecommunications group NYNEX invests US$1.2bn
1993 Paramount and Chris-Craft Industries announce plans to launch new broadcast network
1993 Paramount Publishing announces plans to acquire Macmillan Publishing Company USA

     1994-98

1994 Viacom announces multi-transponder, multi-satellite agreement with PanAmSat
1994 Simon & Schuster acquires German computer book publisher Markt & Technik
1994 Showtime Networks and Castle Rock Entertainment enter into multi-year, 50-picture exclusive output deal
1994 Blockbuster invests US$1.25bn in Viacom, which then buys Blockbuster for US$8.4bn
1994 Viacom and Paramount announce US$8.4bn merger after Viacom wins bidding war with USA Networks/QVC
1994 Viacom sells its 33% of Lifetime Television to Hearst Corporation and Capital Cities/ABC (subsequently acquired by Disney)
1994 sells Madison Square Garden for US $1.075bn
1994 sells KRRT-TV San Antonio, WLFL-TV Raleigh/Durham and WTXF-TV Philadelphia; buys WGBS-TV Philadelphia, WBFS-TV Miami and WSBK-TV Boston
1994 sells Prentice Hall Law & Business to Wolters Kluwer
1995 acquires 20% stake in Byron Preiss Multimedia
1995 launches Sams.net
1995 buys Atlanta station WVEU-TV, sells KSLA-TV in Shreveport
1995 acquires controlling interest in Grupo Mexicano de Video, which operates 100 video stores
1995 spins off its cable systems to Tele-Communications (TCI)
1995 launches The MTV Radio Network
1995 sells Spelling Entertainment
1995 Westinghouse Electric buys CBS
1996 Viacom buys the Waite Group
1996 Blockbuster introduces stored value giftcard
1996 MTV launches 24-hour programming in India
1996 first Blockbuster Video store opens in Ecuador
1996 Viacom Consumer Products and the Rusty Pelican Company launch Bubba Gump Shrimp Co, first theme restaurant inspired by a film (Forrest Gump)
1996 Jossey-Bass (JB) acquires Pfeiffer & Company
1996 Nickelodeon buys Barron Entertainment, producer of kids' programming in Australia
1996 Radio MTV premieres in Los Angeles
1996 Blockbuster acquires 50 retail outlets from Video Chile and 22 from Video Argentina
1996 Blockbuster buys Denmark's largest home video retailer, Christianshavn Video, which owns 31 stores
1996 first Blockbuster stores open in El Salvador and Portugal
1996 Paramount Stations Group (PSG) and Hubbard swap WNYT-TV, Albany and WHEC-TV, Rochester for WTOG-TV, the UPN affiliate in Tampa
1996 Viacom purchases 50% of MTV Brasil from Abril
1996 Blockbuster acquires Xtra-vision Group (141 stores in Eire and 76 in Northern Ireland)
1996 Viacom announces it will exercise its option for 50% ownership interest in UPN
1996 Westinghouse sells Knoll furniture business
1996 CBS buys Infinity radio broadcasting and outdoor advertising group for US$4.7bn
1996 Blockbuster acquires all retail operations of Video Invest Espanola SA (VIESA)
1997 Westinghouse Electric changes name to CBS and sells traditional businesses such as power-generation equipment and light bulbs
1997 Spelling Entertainment sells its majority interest in Virgin Interactive Entertainment
1997 Blockbuster opens first store in Taiwan
1997 MTV Australia launched
1997 Viacom's equity in Spelling increased to 80%
1997 Paramount Stations Group swaps stations in Tacoma and St Louis with Cox Broadcasting and Belo
1997 Paramount sells ten-station Radio Group to Chancellor Media
1997 South Park
1997 Paramount Stations Group increases to 17 stations, making it 6th-largest broadcasting group in US
1997 Westinghouse changes name to CBS, sells hardware operations
1997 CBS buys American Radio Systems chain for US$2.6 billion, increasing its radio stations to 175
1997 Viacom sells interest in USA Networks to Seagram
1997 Cinamerica Theaters joint venture of Viacom and Time Warner sold to WestStar Holdings
1998 Las Vegas Star Trek theme park opens
1998 Spelling Films closes
1997 Blockbuster buys 39 Video Flicks stores in Australia
1997 Blockbuster Gemini joint-venture to develop 65 stores in Poland
1997 sale of educational, professional and reference publishing businesses to Pearson for US$4.6bn, with Viacom retaining the consumer operations (including the Simon & Schuster name)
1998 CBS sells 17% of Infinity Broadcasting for US$2.9 billion

     1999 -

1999 CBS buys King World Productions, leading television program syndicator, for US$2.5bn
1999 Viacom buys CBS for US$50bn
2001 buys The Music Factory (TMF) from Wegener

Who's In Charge of This Crazy Town?




click on the pic

Chairman of the Board and Chief Executive Officer, Viacom Inc.
Chairman of the Board and Chief Executive Officer, National Amusements, Inc.

  Chairman of the Board of Viacom Inc. since June 1987, when National Amusements, Inc. acquired a controlling interest in the New York-based company. In January 1996, Mr. Redstone took on additional responsibilities as Chief Executive Officer of Viacom. Mr. Redstone has been Chairman of the Board of National Amusements since 1986, and Chief Executive Officer of National Amusements since July 1967. He was President of National Amusements from July 1967 to December 1999.

Mr. Redstone enjoys and takes pride in teaching college men and women. He is affiliated with Harvard Law School and Brandeis University, where he is a Visiting Professor. While serving as a Law Clerk in the Court of Appeals, Mr. Redstone taught at the University of San Francisco. In 1982, he joined the faculty of the Boston University School of Law, where he created one of the nation's first courses in entertainment law. In May 1994, Mr. Redstone received an honorary Doctor of Laws from Boston University.

During the Carter Administration, he was appointed a member of the Presidential Advisory Committee of the Arts for the John F. Kennedy Center for the Performing Arts, and in 1984, was appointed a Director of the Kennedy Presidential Library Foundation. He also has served as a judge on the Foundation's select committee to award the annual John F. Kennedy Profile in Courage Award, each year since the Award's inception in 1990.
Mr. Redstone served in the Military Intelligence Division during World War II. While a student at Harvard, he was selected by Japanese history professor Edwin Reischauer (later Ambassador to Japan) to join a special intelligence group whose mission was to break Japan's high-level military and diplomatic codes. In connection with these activities, Mr. Redstone received, among other honors, two commendations from the Military Intelligence Division in recognition of his service, contribution and devotion to duty. He is also a recipient of the Army Commendation Award.
Mr. Redstone's education began at Boston Latin School, where he graduated first in his class. In 1944, after studying for two and one-half years at Harvard College, he was awarded a degree by Harvard University's Special Board of Overseers. In 1947, Mr. Redstone received his LL.B. from the Harvard University School of Law.

Throughout his career, Mr. Redstone has received many awards, including the Robert F. Kennedy Memorial Ripple of Hope Award, the International Radio and Television Society Gold Medal Award, and National Conference of Christians and Jews Humanitarian Award, all of which were awarded in 1998.

 
click on the pic

President and Chief Operating Officer, Viacom Inc.
 
 
Mel Karmazin became President and Chief Operating Officer of Viacom Inc. in May 2000, upon the merger of Viacom and CBS. He had served as President and Chief Executive Officer of CBS Corporation since January 1999.
Mr. Karmazin, who serves on the Viacom Board of Directors, is responsible for overseeing all of Viacom's operations.
Mr. Karmazin had been President and Chief Operating Officer, CBS Corporation, from April 1998 to January 1999. He joined CBS in January 1997 as Chairman and CEO, CBS Radio, through a merger of Westinghouse/CBS and Infinity Broadcasting, where he had served as President and CEO from 1981 until Infinity became a wholly owned subsidiary of Viacom in February 2001. He was named Chairman and CEO, CBS Station Group (Radio and Television), in May 1997.
Mr. Karmazin serves on the Board of Directors of Westwood One, Blockbuster, and the New York Stock Exchange, and is Vice Chairman of the Museum of Television and Radio. He was inducted into the Broadcasting Hall of Fame, and has received the National Association of Broadcasters National Radio Award and the IRTS Gold Medal Award. He is a graduate of Pace University.

What Will They Think of Next? 

In October 10, 2002 - Viacom announced that the Company’s Board of Directors approved a stock purchase program under which Viacom will acquire from time to time up to $3 billion in Viacom stock. The new program will commence with the completion of the Company’s most recent $2 billion market purchase program, under which Viacom has purchased approximately $1.8 billion in Viacom stock since February 2001. Viacom will finance the purchase program with cash flow generated by the Company’s operations.


In, November 20, 2002 — Lisa McCarthy was promoted to Executive Vice President of Viacom Plus.  Ms. McCarthy was formerly Senior Vice President of Viacom Plus. In addition to her continued role as head of Viacom Plus, Ms. McCarthy will direct the work of Viacom Plus Regional Solutions, which offers integrated media programs for clients using the vast targeted resources of Infinity Radio, Viacom Outdoor, and Viacom’s 39 owned-and-operated CBS and UPN local television stations.


In January 6, 2003, Viacom and the Henry J. Kaiser Family Foundation, a leader in health information and research, launched KNOW HIV/AIDS, a global media campaign to combat HIV/AIDS through public service messages (PSAs), television and radio programming, and free print and online content. The multi-year effort combines the public health expertise of the Kaiser Family Foundation with the power of Viacom’s mediato foster awareness of the disease and its prevention.



http://www.viacom.com/announce.tin?sUnitNickname=viacorp
  For more info go to the letter to the shareholders 

Who Are They Going Up Against?

  
AOL Time Warner
The largest telecom company with $32.4 billion. Everyone wants to be on the cover of TIME.
www.corp.aol.com
www.timewarner.com

Walt Disney (ABC)
An evil company with $23.5 billion in blood money. I hope this company gets engulfed in a lake a fire. Take that mickey!
www.disney.go.com

Vivendi Universal
A very diverse conglomerate with $22.6 billion. Hey, a company that makes booze can't be all that bad...
www.seagram.com



 

Where Are They Now?

01/06/2003 -- VIACOM AND KAISER FAMILY FOUNDATION LAUNCH COMPREHENSIVE INITIATIVE TO FIGHT HIV/AIDS
11/20/2002 -- LISA MCCARTHY NAMED EXECUTIVE VICE PRESIDENT, VIACOM PLUS
10/10/2002 -- VIACOM TO PURCHASE UP TO $3 BILLION IN VIACOM STOCK
10/09/2002 -- VIACOM AND KAISER FAMILY FOUNDATION TO LAUNCH COMPREHENSIVE MEDIA CAMPAIGN TO FIGHT                                     HIV/AIDS
10/09/2002 -- STATEMENTS REGARDING THE VIACOM-KAISER HIV/AIDS INITIATIVE
10/09/2002 -- FACT SHEET ON THE VIACOM HIV / AIDS INITIATIVE

the date is 3/3/03
the smart-ass who made this site's name is Jack Dreesen