Two of Warner Bros. Discovery‘s board members, Steven Newhouse and Steve Miron, are stepping down from their roles with the corporate after receiving inquiries from the U.S. Division of Justice.
“Miron and Newhouse resigned after the US Division of Justice knowledgeable them that it was investigating whether or not their service on the Board of Administrators violated Part 8 of the Clayton Antitrust Act,” WBD stated in a press release. “Messrs. Miron and Newhouse knowledgeable WBD that, with out admitting any violation, and in mild of the altering dynamics of competitors within the leisure trade, they elected to resign slightly than to contest the matter.”
Part 8 of the Clayton Act addresses company administrators that concurrently serve on the boards of opponents.
As THR famous final week, members of the Newhouse household, together with Newhouse and Miron, serve on the boards of cable large Constitution Communications, in addition to Reddit, which simply went public final month. Miron is the CEO of Advance/Newhouse Partnership, the household holding firm. Newhouse is the co-president of Advance.
“On behalf of our Board and WBD’s management group, I need to thank Steve Miron and Steven Newhouse for his or her extraordinary service and longstanding dedication to Discovery and Warner Bros. Discovery,” stated David Zaslav, CEO of Warner Bros. Discovery, in a press release. “Each Steve and Steven have been a fantastic supply of smart counsel and super trade perception over time, they usually performed an integral position in getting this new firm up and working and on a path to long-term development. We’re enormously grateful for his or her steadfast assist and need them the perfect.”
WBD says that it’ll shrink the scale of its board to 11 members following their resignations. Each Miron and Newhouse’s phrases had been set to run out on the 2025 annual assembly.
Each Miron and Newhouse are members of the Newhouse household, which collectively personal about 8.1% of WBD’s excellent shares, along with giant stakes in Constitution, Reddit, and personal firms like Conde Nast and The Ironman Group.
“From our funding within the Discovery Channel within the earliest days of cable, by way of Bob Miron’s service as Discovery’s Board Chair and Steve and my service on this board, and with the big efforts of John Malone and David Zaslav, we’re proud to have performed a job within the constructing of this nice firm and stay a big stockholder,” Newhouse stated in a press release. “We’re upset to depart the Board, however want to do the appropriate factor for WBD.”.