Redstone Resigns as CBS Executive Chairman--Update

By Joe Flint and Josh Beckerman 

Sumner Redstone is stepping down as executive chairman of CBS Corp. and will be succeeded as chairman by President and Chief Executive Leslie Moonves, the company said Wednesday.

The move comes amid concerns about the health of Mr. Redstone, 92 years old, and his capacity to continue steering his media empire. He owns a nearly 80% voting stake in CBS and Viacom Inc.

Mr. Redstone, who has served as executive chairman of CBS, was named chairman emeritus, the company said.

Mr. Moonves was nominated to succeed Mr. Redstone by the mogul's daughter, Shari Redstone, who is vice chair of CBS. CBS said Wednesday it had offered the position of nonexecutive chair to Ms. Redstone, but she declined.

In a statement, Ms. Redstone said Mr. Moonves has "clearly established himself as a creative and effective leader who understands both the challenges and the opportunities that are shaping today's media landscape."

The move comes as Mr. Redstone deals with a court case challenging his mental competence. The lawsuit was brought in November by Manuela Herzer, a longtime companion of Mr. Redstone's who was thrown out of his Los Angeles mansion in October.

The suit claims Mr. Redstone lacked the mental capacity to decide on Oct. 16 to remove her as his health-care agent in the event that he lacks ability to make his own medical decisions, and replace her with Viacom Inc. Chief Executive Philippe Dauman.

Mr. Redstone remains the executive chairman of Viacom.

Write to Josh Beckerman at [e-mail]

(END) Dow Jones Newswires

February 03, 2016 16:42 ET (21:42 GMT)

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