Warner Bros. Discovery unveils new structure to drive growth and value

Warner Bros. Discovery, Inc. (Nasdaq: WBD) is ushering in a bold new era, announcing a strategic overhaul designed to boost shareholder value and sharpen its competitive edge.

Today, the company revealed its plan to implement a dynamic new corporate structure that will create two distinct operating divisions, each poised for growth in the fast-evolving media landscape.

The two divisions are:

• Global Linear Networks: A powerhouse of linear television, home to iconic networks offering top-tier news, sports, and a blend of scripted and unscripted content.
• Streaming & Studios: A global streaming giant and film studio force, with a treasure trove of the world’s most beloved intellectual properties.

This fresh structure aims to sharpen focus, with each division pursuing its own tailored strategic goals.

Global Linear Networks will concentrate on maximizing profitability and cash flow, continuing to reduce debt, while Streaming & Studios will drive expansion and capitalize on rising investments.

“This marks an exciting step forward in our transformation,” said David Zaslav, President and CEO of Warner Bros. Discovery.

“Since our merger, we’ve made tremendous strides, not only improving our financial standing but also delivering unparalleled entertainment to audiences worldwide.

This new structure enhances our flexibility, positioning us to seize emerging opportunities and accelerate value creation for our shareholders.”

The company plans to begin implementing this structure immediately, with full completion expected by mid-2025. In tandem, the board will continue evolving to support the company’s strategic vision.

J.P. Morgan, Evercore, and Guggenheim Securities are advising Warner Bros. Discovery on this significant move, with Kirkland & Ellis and Wachtell Lipton providing legal counsel.

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