Hollywood starts with an agent

Chapter 540 Returning to the Scene
After talking with Summer Raishi, Aaron sat down on the sofa in the lounge area with Charles Johnson, chairman of the Franklin Templeton Foundation.

"The aftermath of the Asian financial crisis, the defense of Hong Kong's financial system, and the Russian bond default resulted in losses for many investment institutions on Wall Street."

"The decline in Franklin Templeton Fund's share price is still within an acceptable range, which is quite good!"

Aaron lamented, "Look at Long-Term Capital Management and Tiger Fund; they suffered huge losses from the Russian bond defaults."

Long-Term Capital Management, in particular, would have gone bankrupt had the Federal Reserve not mobilized other investment banks to acquire it.

Charles Johnson nodded. "Fortunately, Franklin Templeton Investments has a broad investment portfolio, and hedge funds are just one of our businesses!"

"By the way, next, I need you to investigate the assets and liabilities of the CBS Group;"

"Dawn is now preparing to acquire CBS Television Network."

Aaron has always worked with the Franklin Templeton Foundation, and he trusts them the most to handle these kinds of matters.

“CBS Corporation, it seems you finally couldn’t hold back,” Charles Johnson said without surprise, after all, he had known Aaron Anderson for several years and was quite familiar with the other’s thoughts.

Media groups all want to own a nationwide wireless broadcasting network;
As for why Aaron Anderson only assigned him to investigate CBS and not NBC, it's because General Electric was too powerful.

At the beginning of the year, Westinghouse Electric acquired American Broadcasting Systems for $16 billion, merging it into CBS's radio station business;

"Currently, CBS owns more than 170 radio stations, over 10 major city-owned stations, and more than 200 affiliated regional stations. Its cable networks include TNN (Nashville Network), CMT (Country Music Television Network), and EOP Entertainment Network."

"By broadcasting signals through a variety of means, including terrestrial broadcasting, cable television, and satellite television, CBS Television Group is now second only to Disney's ABC Television Group in size!"

Charles Johnson's meaning is quite clear: the price of CBS now is not what it was when Westinghouse acquired it.

CBS Television Group is certainly very valuable now.

“Foolish,” Aaron frowned. “Radio is a sunset business, and Westinghouse doesn’t even consider selling CBS’s radio stations, but instead tries to acquire them?”

In Aaron's mind, radio stations, like print newspapers today, are a sunset industry, a business that will decline with the development of the internet.
Now is the time to vigorously develop cable and satellite television; starting a radio station is utter nonsense.

"Don't worry, with Dawn's current size, taking over CBS Group won't be too difficult!"

With its massive cash flow and soaring stock price, Dawn is undoubtedly a star company.

Charles Johnson nodded, but still voiced his doubts, "Aaron, internet companies are currently the dominant force on Wall Street, and you yourself have invested in quite a few tech stocks; "The combination of the media and entertainment industry and the technology industry is a very hot topic right now, haven't you thought about getting involved as well?"

Aaron smiled. "Not long ago, AOL acquired Netscape, and AOL's chairman, Steve Case, subtly expressed his desire to acquire Dawn."

Do you think I should merge with him?

“No wonder,” Charles Johnson realized. How could Aaron Anderson allow Dawn to be acquired by another company?
Sugon has achieved such remarkable results in less than 10 years since its founding, with revenue exceeding $130 billion and net profit reaching $16 billion last year.
These financial statements are attractive enough, and this year, Dawning's revenue in the first three quarters has already reached $120 billion!
Meanwhile, Michael Ovitz, the former chairman of CAA, also arrived at the reception and was networking with some investors.

Since being ousted from Disney and receiving over $100 million in severance pay, Michael Ovitz has been living a quiet life.

After his dream of forming an NFL team in Los Angeles fell through, Michael Ovitz finally returned to the scene, starting his own agency, AMG (Artists Management Group), and going back to his old profession!
Unfortunately, Ronald Mayer, a former friend and partner of CAA, launched a ruthless attack on him after joining MGM.
Richard Lovett, a former protégé of CAA and now the CEO of CAA, has publicly condemned him as shameless and morally depraved!
After more than two years of downturn, CAA has now emerged from its slump under the management of Richard Lovett, President Brian Lord, partner Kevin Huveen, and others.

Although CAA is not as glorious as it was during the Michael Ovitz era, it has returned to the status of one of the three major Hollywood talent agencies.

"Robert, congratulations! The Horse Whisperer is such a success!"

Michael Ovitz is talking to Hollywood star Robert Redford.

This summer, Robert Redford's self-directed and self-starring drama film "The Horse Whisperer" achieved a good box office of $7000 million in North America and $1.8 million worldwide;
Moreover, the film received high praise, winning acclaim from many newspapers and magazines such as The New York Times, The Washington Post, and Entertainment Weekly!
"Thank you, Michael. The success of The Horse Whisperer is inseparable from the excellence of the novel," said Robert Redford, who directed Quiz Show four years ago, which, despite receiving an Oscar nomination for Best Director, was a commercial failure.
This year's "The Horse Whisperer" achieved both critical and commercial success, which can be considered a comeback.

"Robert, as you know, I recently started a new agency called AMG. Perhaps we can recapture our former glory?"

Michael Ovitz wants to continue working with Robert Redford.

Robert Redford shook his head slightly. "I'm still working with CAA, and I also have a project with DreamWorks that's currently in the planning stages."

"It's true that I haven't had time to develop a cooperative relationship with AMG. My director and actor management contracts are with CAA!"

Michael Ovitz, of course, was undeterred: "Our previous collaborations were very close and very successful."

"Robert, the CAA of today is not the CAA I led back then. Don't you want to go back to those days?"

Robert Raeford shrugged. "I really can't do anything about it, Michael..."

(End of this chapter)