WBD deal: Paramount could face $30 mn penalty for every missed theatrical release
As per reports, the settlement discussions could also include Miramax sale and $1.5 billion US film production investment
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Published: Sep 21, 2026 1:48 PM | 1 min read
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Settlement discussions between Paramount Skydance Corp. and California officials over the proposed acquisition of Warner Bros. Discovery Inc. are considering a financial penalty if Paramount fails to meet a commitment to release at least 30 films a year in theatres.
Paramount could face a $30 million payment for every film it falls short of the annual target.
The company could also be required to sell its stake in Miramax if it fails to meet the theatrical-release commitment.
Paramount has previously offered to distribute at least 30 films annually in theatres as part of efforts to secure support from major cinema chains for the merger.
Paramount is seeking to settle a lawsuit brought by attorneys general from 12 states and the Writers Guild, which have challenged the proposed $110 billion acquisition of Warner Bros. Discovery. The plaintiffs argue that the transaction would give Paramount an undue share of the US movie and cable television markets.
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