Paramount reached a settlement with California and 11 other states that had sued
to block its $110 billion acquisition of Warner Bros. Discovery, removing a
major state-level obstacle to the deal. The agreement, announced by the
California attorney general, requires Paramount to increase U.S. film
production—adding at least $300 million a year in domestic production
spending—and to raise annual theatrical releases after closing. It mandates
production of 30 films per year in the first two post-close years and 32 per year
year in the following three years, with at least four independent films annually
and a minimum 20% of releases classified as tentpoles.
