CBS - CBS -- UNWANTED AT ANY PRICE?

CBS -- UNWANTED AT ANY PRICE?

Even if Sumner Redstone wanted to sell off CBS Inc. in order to pay offNational Amusements' $1.6-billion debt -- something that Redstone has deniedhe intends to do -- he would be unlikely to find a buyer, Crain's NewYork Business said today (Monday). It quoted analysts as saying that"nobody would want CBS, even at bargain prices." The analysts noted thateven though the network is leading in the ratings race, it relies onadvertising for more than 70 percent of its revenue -- making itparticularly vulnerable to the current financial downturn. On the otherhand, the business publication said, Redstone might find a buyer for hisother media company, Viacom, which operates a number of cable networks,including MTV, VH1, Nickelodeon, Comedy Central. Spike TV, and BET. AlanGould, senior media analyst at Natixis Bleichroeder, told CNYB ,"Cable network ratings have been holding up much better than broadcast, andcable has that dual revenue stream [from subscriber fees."

01/12/2008