CBS Keeps Moonves For Now

Les Moonves

CBS Corp. Chief Executive Officer Leslie Moonves will remain on the job while board of the broadcast giant seeks an outside counsel to investigate allegations of sexual harassment.

According to Bloomberg, the board announced its action in a statement late Monday, delaying a decision on the fate of the 23-year company veteran. The meeting was scheduled before the claims that came to light in a New Yorker article published July 27. CBS’s board also delayed the annual shareholder meeting again.

Several women accused Moonves of sexual harassment, including forced touching and kissing during business meetings. The women said they were physically intimidated and that their careers suffered when they refused his advances. The article goes on to describe a culture of harassment at CBS.

Moonves acknowledged there were times decades ago that he may have made some women uncomfortable, but said he never used his position to harm anyone’s career.

The departure of Moonves, 68, who’s led the company since 2006, would be a blow to the broadcaster. He’s been a major force in TV since the 1980s, and CBS has led the audience ratings for most of the past decade on the strength of its programming on his watch. The network’s hits include a broad slate of comedies, procedural shows like “CSI’’ and live sports.

CBS is locked in a battle with National Amusements Inc., led by Shari Redstone, over her desire to recombine the company with Viacom Inc., another family holding. For some time, the board has been split between those loyal to Moonves and Redstone, whose family owns a controlling stake in both companies.

The scandal could hasten the end of the legal fight. Moonves and Redstone, once allies, clashed repeatedly in recent years over the prospect of a merger. Redstone advocated a merger to help boost flagging Viacom, and wanted Moonves to run the combined company. Moonves opposed the idea, believing Viacom’s best days are behind it.

The company is scheduled to report second-quarter results after markets close on Aug. 2, and Monday’s announcement suggests Moonves will participate in a call with analysts afterward, as he usually does. Analysts forecast profit will rise 14 percent to $1.11 a share, while revenue increases 6.2 percent to $3.46 billion.



Stephen Colbert cracked a few jokes (including one about how he hoped Moonves wasn't watching his show), then got serious talking about the #MeToo movement. "Everybody believes in accountability until it's their guy," he said. "And make no mistake, Les Moonves is my guy. He hired me to sit in this chair. He stood behind this show while we were finding our voice. He gave us the time and the resources to succeed. He has stood by us when people were mad at me. And I like working for him. But accountability is meaningless unless it's for everybody, whether it's for the leader of a network or the leader of the free world."