David Zaslav, the former president and chief executive officer of Warner Bros. Discovery (WBD), will receive approximately $606.1 million from his equity holdings following the completion of Paramount’s acquisition of the entertainment company, according to a regulatory filing.
The payout became effective on October 6, when Paramount completed its takeover of WBD. The amount includes shares and restricted stock units that were converted into cash entitlements as part of the transaction.
According to a filing with the US Securities and Exchange Commission (SEC), Zaslav’s proceeds include $381.7 million from stock options, which are subject to withholding taxes. His overall proceeds will also be subject to applicable capital gains taxes.
However, 14.98 million of his stock options became worthless following the
merger because their exercise prices exceeded Paramount’s acquisition price of $31.0167 per share.
Zaslav sold nearly $200 million in shares after deal announcement
In addition to the proceeds from the merger, Zaslav has sold nearly $200 million worth of Warner Bros. Discovery stock since the company reached its acquisition agreement with Paramount in February.
Paramount formally completed the takeover on October 6, bringing an end to Zaslav’s tenure at the company he helped create by merging WarnerMedia and Discovery.
Following the transaction, the iconic Warner Bros. water tower in Burbank, California, was repainted with the words “A Skydance Corporation”, reflecting the company’s new corporate identity.
Several senior executives leave Warner Bros. Discovery
Zaslav is among several senior executives departing Warner Bros. Discovery following the takeover.
Other executives leaving their positions include Chief Financial Officer Gunnar Wiedenfels; Bruce Campbell, chief revenue and strategy officer; Pamela Abdy and Michael De Luca, co-chairs of Warner Bros. Motion Picture Group; and Scott Miller, president of networks and streaming distribution.
Other senior executives also received substantial payouts associated with the transaction. They include Wiedenfels, Campbell, Gerhard Zeiler, WBD’s former head of international operations, and JB Perrette, the company’s former head of streaming and games.
Perrette has joined David Ellison’s Skydance as co-chair and chief business officer of its television and direct-to-consumer streaming divisions. Zeiler, meanwhile, is pursuing a possible political career in Austria.
Shareholders opposed executive compensation packages
At Warner Bros. Discovery’s annual shareholder meeting in June, a majority of shareholders voted against the proposed golden-parachute packages for Zaslav and other named executives, as well as their 2025 compensation plans.
The votes came after years of restructuring and cost-cutting under Zaslav’s leadership. The company reduced its workforce as part of efforts to improve operating efficiency and manage expenses.
At the same time, Zaslav more than doubled the number of employees holding equity in WBD compared with the employee shareholding arrangements at WarnerMedia and Discovery before their merger.
WBD reduced debt and improved profitability
Zaslav’s tenure was marked by efforts to strengthen the company’s financial position while managing a substantial debt burden.
Warner Bros. Discovery reduced its gross debt from approximately $53 billion in mid-2022 to $33.1 billion as of June 2026. The debt has now been assumed by the newly formed Skydance, which faces an estimated debt burden of $80 billion.
The company also improved its operating performance during Zaslav’s tenure. For full-year 2022, WBD reported a pro forma loss of approximately $2.1 billion in earnings before interest, taxes, depreciation and amortisation (EBITDA).
By 2025, the company had generated an EBITDA profit of $1.4 billion. It was also on track to record double-digit percentage growth in subscriber-related revenue in 2026.
The Paramount acquisition marks a new chapter for the entertainment business, while Zaslav’s exit concludes his leadership of the company through its merger, restructuring and efforts to improve its financial performance.
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