Warner Bros Discovery Expects Up To $4.3B In Restructuring From Discovery-AT&T Deal

Warner Bros Discovery, Inc WBD will likely incur $3.2 billion - $4.3 billion in pretax restructuring charges through 2024 from a cost-cutting effort following the merger of Discovery Inc and AT&T Inc’s T WarnerMedia unit.
Most of the charges of $2.0 billion - $2.5 billion were likely related to restructuring the company’s content operations, including writing down the value of some content and killing off projects in development.
The new management struggled to accomplish its commitment of $3 billion in cost savings through the merger of Discovery with WarnerMedia, the Wall Street Journal reports.
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WBD also battled a heavy debt burden.
At the end of the second quarter, WBD had a debt of $53 billion.
There have been significant layoffs since the deal closed. It slashed 26% of all positions at Warner Bros. Television in October.
HBO, Warner, and Discovery cable networks also faced cost cuts.
Price Action: WBD shares traded lower by 0.23% at $13.15 premarket on the last check Tuesday.