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Sumner Redstone, who was a billionaire with a net worth of more than $5.1 billion just three months ago, might not be left with a penny after settling all his debts which could be as much as the valuation of all his stocks in Viacom and CBS. NY Times has now seriously questioned the fact that he is even a billionaire now, although the question should have been if he is even a millionaire:
In an effort to stave off the dismantling of his media empire, Sumner M. Redstone, the controlling shareholder of Viacom and CBS, recently proposed to sell his family’s 1,500-screen theater chain in an effort to restructure his large debt load.
The proposal was made in a plan submitted to his bankers, according to two people briefed on the negotiations who spoke on condition they not be identified. But the proposed sale may not be enough to placate bankers, not least because no one can seem to agree on what the movie theaters are worth.
Here is what just about everyone, including those in Mr. Redstone’s inner circle, agrees on: if it gets bad enough, Mr. Redstone has indicated he would be willing to part with CBS, but not Viacom, according to three people briefed on the talks who, like the others involved, spoke on condition of anonymity.
Wow. Billionaires going broke…how scary is it going to get?