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Viacom CEO Philippe Dauman says its generally a tough business

By Amarendra Bhushan for CEOWORLD Magazine Updated:October 16, 2008

“Viacom CEO Philippe Dauman has laid out a very smart strategy that will put Viacom in great position to prosper in the current economic climate,” Brad Grey, Chairman and CEO of Paramount Pictures, said in a statement. “In line with that strategy, we at Paramount are taking steps to ensure our business and creative plans are sound and viable for the long term. Viacom CEO Philippe Dauman on Wednesday shot down suggestions that his company sell its Paramount Pictures film unit and signaled little hunger for a big film studio like Universal, should it become available.

“It’s not one we want to sell” because it is a “very fast-growing business” with strong cash flows, he said about Paramount at the second annual Media and Money conference in New York, organized by Dow Jones and Hollywood Reporter parent the Nielsen Co. “Paramount has done great for us. Brad Grey has done a terrific job.”

Dauman admitted that film is a “generally tough business,” but he argued that Paramount’s reducing its number of annual releases helps to further push the film unit along a “sound strategic and financial path.”

Speaking about possible acquisitions, Dauman reiterated his view that the days of big deal are over for Viacom.

Asked if he would pass up Universal if it came up for sale, he said: “We look at things. … But we have no plan to make any significant acquisition.”

Dauman also floated the idea of a potential kids version of the successful video game “Rock Band” and gave more color about special features that the premium TV service Viacom, Lionsgate and MGM are working on could offer.

The service has struggled to win distribution deals from cable, satellite TV or telecom companies. But, Dauman said, “we are deeply engaged in distribution discussions” that are “very detailed” already as the service prepares for an October 2009 launch.

“We have added new features that distributors have requested,” he said. Among key value propositions that are planned, the service will make all films available in HD and have a “more robust” VOD component and interactive elements. Plus, all movies will be available on the first day of the pay window, Dauman said. He also mentioned broadband and potentially mobile applications.

Viacom’s recent acquisition of ScreenLife, which makes the Scene It movie trivia game on DVD, will play a role here. He didn’t provide details, but audiences could play the game on their TV screens or computers, observers said.

Philippe P. Dauman
President and Chief Executive Officer
Mr. Dauman has been our President and Chief Executive Officer since September 5, 2006 and joined our Board of Directors as of January 1, 2006, having previously served as a director of the former Viacom Inc. since 1987.

Prior to joining Viacom, he was Co-Chairman and Chief Executive Officer of DND Capital Partners, L.L.C., a private equity firm specializing in media and telecommunications investments that he co-founded with Mr. Dooley, from May 2000 until September 2006. Prior to that, Mr. Dauman held several positions at the former Viacom Inc., which he first joined in 1993, including Deputy Chairman, member of its Executive Committee and Executive Vice President, General Counsel and Secretary. Mr. Dauman is also a director of National Amusements, Inc. and Lafarge S.A. He also serves on the Board of Trustees for The Paley Center for Media and the Dean’s Council of Columbia University Law School.

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