Leaders.com
  • Business
  • Leadership
  • Wealth
  • Master Classes
  • Business
    • Entrepreneurs
    • Executives
    • Marketing and Sales
    • Social Media
    • Innovation
    • Women in Business
  • Leadership
    • Personal Growth
    • Company Culture
    • Public Speaking
    • Productivity
    • Hiring
    • Social Issues
    • Leaders
  • Wealth
    • Investing
    • Cryptocurrency
    • Retirement
    • Venture Capital
    • Loans and Borrowing
    • Taxes
    • Markets
    • Real Estate
  • Master Classes
Social Issues

David Zaslav's leadership has faced scrutiny through ongoing issues at WBD (Ethan Miller/Getty Images)

By Tyler Hummel Leaders Staff

Tyler Hummel

Tyler Hummel

Tyler Hummel is a news writer for Leaders Media. He was the Fall 2021 College Fix Fellow and Health Care...

Full bio


Learn about our editorial policy

Sep 5, 2023

Warner Bros. Discovery Takes $500 Million Loss Thanks To Strikes 

Warner Bros. Discovery (WBD) has publicly disclosed that it could lose up to a half billion dollars due to the ongoing WGA and SAG-AFTRA strikes. 

Key Details

  • On May 2, the Writers Guild of America (WGA) began a multi-week strike over issues with streaming compensation and fears over how AI will affect their jobs. 
  • On July 14, the Screen Actors Guild (SAG) began to strike over the same issues.
  • On September 5, WBD disclosed in a filing to the Securities and Exchange Commission that it expects a $300 to $500 million hit to earnings due to the strikes. 
  • WBD expects to exceed $1.7 billion cash flow in the third quarter thanks to strong ticket sales for Barbie, but will still take a hit. 
  • The company lowered its 2023 earnings expectations from its forecasted $11.0 billion–$11.5 billion range to $10.5 billion–$11.0 billion. 

Why It’s Important 

Companies like WBD and Disney have generally been quite hostile to the ongoing strikes, claiming that the demands of the strikers are unreasonable and moving forward with many of their directives amid protests. Disney CEO Bob Iger caught flack after a July 13 interview for CNBC’s Squawk Box, where he dismissed the demands of the actors guild as “unrealistic” and “disturbing.” 

WBD CEO David Zaslav has been similarly negative in his response to the strikes, with his company currently negotiating to bring an end to the stoppage that has already resulted in delays for major WBD films like Dune: Part II, due to the inability for actors to help promote the blockbuster film. The company mentioned in a recent earnings call that it expected the strike to resolve by September.

As we previously reported, 2023 has been a historic year for labor strikes, with 325,000 Americans going on strikes in the first half of this year.

Notable Quotes 

“While WBD is hopeful that these strikes will be resolved soon, it cannot predict when the strikes will ultimately end. With both guilds still on strike today, the company now assumes the financial impact to WBD of these strikes will persist through the end of 2023,” says a Tuesday statement from WBD. 

“Uncertainty in the studio segment has increased with the dual strikes. This may have implications for the timing and performance of the remainder of the film slate as well as our ability to produce and deliver content,” CFO Gunnar Wiedenfels previously argued. 

“And while we are hoping for a fast resolution, our modeling assumes a return-to-work date in early September. Should the strikes run through the end of the year, I would expect several hundred million dollars of incremental upside to our free cash flow guidance and some incremental downside for adjusted EBITDA.” 

Home / News / Warner Bros. Discovery Takes $500 Million Loss Thanks To Strikes 
Share
FacebookTweetEmailLinkedIn

Related Stories

61% Of Americans Are Living Paycheck-To-Paycheck 

by Tyler Hummel Leaders Staff
Markets

Sep 8, 2023

Nearly two-thirds of Americans are feeling pinched by inflation. 

Key Details

  • LendingClub’s newest research shows that 61% of adults lived paycheck-to-paycheck in July 2023, increasing from 59% in July 2022. 
  • Even with inflation decreasing from 8.5% to 3.2% in 12 months, consumers still struggle to get by.  
  • A portion of this is attributed to irresponsible spending, with 21% of survey respondents saying nonessential spending is responsible for their financial issues. 
  • Low-income consumers—making less than $50,000 per year—were among the hardest hit by tightening wallets, Fortune reports. 
  • Bankrate’s Annual Emergency Fund Report earlier this year found that 57% of Americans cannot afford a $1,000 emergency. 

Go deeper

FacebookTweetEmailLinkedIn

Google Cracks Down On A.I. Election Ads

by Tyler Hummel Leaders Staff
Tech

Sep 7, 2023

Political campaigns using artificial intelligence (AI) generated content must disclose this information in Google and YouTube content. 

Key Details

  • Google has revealed a new disclosure policy that will force election advertisers to label AI content distinctly from real content. 
  • As of mid-November, generative AI content must receive a label to make it clearly identifiable to avoid spreading election misinformation. 
  • Google’s digital ad business joins companies like Meta Platform’s Facebook and Instagram in cracking down on deep fakes and spreading misinformation. 

Go deeper

FacebookTweetEmailLinkedIn

Vivek Ramaswamy’s Anti-ESG Firm Is Worth $1 Billion 

by Tyler Hummel Leaders Staff
Environment

Sep 7, 2023

The third most popular GOP presidential candidate has built his name fighting “wokeness”—and that reputation is paying off for his asset management company. 

Key Details

  • Ohio-based Strive Asset Management is an anti-activism fund company that promises investors higher-quality returns and investments.  
  • It was partly founded by Peter Thiel and Bill Ackman to rival investors at environmental, social, and governance (ESG)-friendly firms. 
  • On Tuesday, the firm announced that its accumulated assets now exceed $1 billion, slightly more than a year after it launched in 2022. 
  • The company is also currently facing lawsuits from two former employees arguing that it mistreats staff and engages in securities violations.

Go deeper

FacebookTweetEmailLinkedIn
Investing

Sep 7, 2023

Bill Gates Makes a $96.6 Million Bud Light Bet

by Tyler Hummel Leaders Staff
Cryptocurrency

Sep 6, 2023

Cathie Wood Bets Bullish On Big Tech 

by Tyler Hummel Leaders Staff
Some U.S. companies are finding it easier to hire help, after a rough few years
Hiring

Sep 6, 2023

Promotions Can Increase the Number Of Employees Quitting 

by Tyler Hummel Leaders Staff

Recent Articles

Leadership

Sep 14, 2023

Maladaptive Daydreaming Signs + 4 Ways to Manage Them

Maladaptive daydreaming involves daydreams that interfere with daily functioning

Hiring

Sep 13, 2023

40 Smart Questions to Ask at the End of an Interview to Get Hired

Impress hiring managers with these thoughtful questions

Business

Sep 12, 2023

S Corp vs. C Corp: 7 Factors to Consider When Choosing a Corporate Structure

Entrepreneurs face a pivotal decision when starting a business: the C corp or the S corp

  • Business
  • Leadership
  • Wealth
Join the Leaders Community

Get exclusive tools and resources you need to grow as a leader and scale a purpose-driven business.

Subscribing indicates your consent to our Terms & Conditions and Privacy Policy

Leaders.com
  • Privacy Policy
  • About
  • Careers
  • Cookie Policy
  • Terms
  • Disclosures
  • Editorial Policy
  • Member Login

© 2023 Leaders.com - All rights reserved.

Search Leaders.com