Odd Couple Linked By Debt…

Monday, October, 20, 2008 by Mel Phillips.

The tension was palpable at 1515 Broadway when Mel Karmazin and Sumner Redstone co-existed in the running of Viacom’s fortunes several years ago.  They both wanted to be boss but the owner of a company usually wins out and that co-existence was short-lived.  Mel would go on his merry way to more fame and fortune, leaving Sumner to fend on his own and this he did with a little help from several executives du jour to do his bidding.  Today this odd couple is again connected but not the way either one would want it…

Sumner’s holding company for his controlling interests in Viacom and CBS, National Amusements is looking for a lender to rework its debt package of $1.6 billion.  This comes less than a week after it sold $233 millon of its shares in Viacom and CBS, reducing Redstone’s controlling stakes in both companies.  It’s now possible that Sumner may have to sell Viacom or CBS to bail out of his debt.  The betting should it come to that would be CBS would go because of his stronger attachment to Viacom although the latter is a more valuable property…

Mel Karmazin’s debt dilemma is less dire.  Sirius XM Radio Inc., fell 5.1% in Nasdaq trading after saying it’s considering issuing stock to repay $1.05 billion in debt that matures next year.  They’ve asked shareholders to approve a reverse split of its stock and an increase in the authorized shares.  The reverse split would help boost shares back over $1 and help the company keep its Nasdaq listing…

Between them, Redstone and Karmazin owe over $3 billion.  You think they’ll take a pay cut this year???

10 Timeline Memories:

1. 1944] ‘I Shall Return’: Those were the words uttered by General Douglas MacArthur when he stepped ashore in the Philippines, 2 1/2 years after he made the famous quote…
2. 1968] Wedding Bells: Former first lady Jacqueline Kennedy marries Greek shipping magnate Aristotle Onassis…1991] Clint Black and Lisa Hartman rock down the aisle…
3. 1973] Nixon cans Cox: Special Watergate prosecutor Archibald Cox is fired by President Richard Nixon. Attorney General Elliot Richardson and Deputy Attorney General William Ruckelhaus resign in protest…
4. 1976] No more house calls in New York: The Nets sell Julius “Dr. J” Erving to the Philadelphia 76ers…
5. 1977] Rock & Roll tragedy: Three members of Lynyrd Skynyrd die in the crash of a chartered plane near McComb (MS)…
6. 1979] JFK remembered: The John F. Kennedy Library opens in Boston…
7. 1992] The World Series in Canada, eh?: In the first WS game to be played outside the U.S., Toronto beats Atlanta 3-2 and will win the WS…
8. 2004] Down but never out: The Red Sox come from a 3 game deficit to win 4 straight over the Yankees to win the AL pennant. They go on to win the World Series too…
9. 2004] Chipped: U.S. Army staff sergeant Ivan “Chip” Frederick pleads quilty to helping plan the deadly U.S. embassy bombings in Arfrica in 1998 that killed 224 including 12 Americans…
10. 2005] The defense rests forever: A defense lawyer in Saddam Hussein’s mass murder trial is abducted from his office and found murdered hours later…

Music Memories:

• 1955] Live from Brooklyn High School: Bill Haley & the Comets and Elvis Presley perform on the same bill at Brooklyn High School in Cleveland (OH)…
• 1960] Premiered on this date: “G.I. Blues” starring Elvis Presley…
• 1962] “Big Girls Don’t Cry” - Four Seasons…1973] “The Joker” - Steve Miller Band…
• 1978] Debuted on this date: The Police debut in their 1st U.S. concert at CBGB’s.  The Police started and ended their careers in New York…

Commentary:

Levi Stubbs was the heart and soul of the Four Tops and his passing on Friday is a great loss to Motown and the world.  Stubbs, who died in his sleep at 72 leaves a wife, five children and 11 grandchildren.  It also leaves Abdul “Duke” Fakir as the remaining living member of the original Four Tops.  Here’s a video tribute to Levi…This just in:  Dee Dee Warwick, younger sister of Dionne and a two-time Grammy Award nominee, passed away Saturday after several months of failing health.  Dee Dee was 63.  Here’s Dee Dee’s version of “I’m Gonna Make You Love Me“…

“Happy Birthday…happy birthday“:

Snoop Dogg (37), Viggo Mortensen (50), Keith Hernandez (55), Tom Petty (58), Juan Marichal (71) and Wanda Jackson (71)…

Timeline Countdown: 2 days until the first game of the World Series, 11 nights until Halloween and 12 nights until Standard (back one hour) Time…

Posted in Today's Post | No Comments »