By Georg Szalai at The Hollywood Reporter:
Warner Bros. Discovery has lowered its 2023 adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) forecast to $10.5 billion-$11.0 billion, a hit of $300 million-$500 million, “predominantly due to the impact of the strikes,” compared with the previously targeted low end of the $11.0 billion-$11.5 billion range.
Let me get this straight: it’s unreasonable for writers to justifiably demand a relatively modest pay increase, but it’s the height of business savvy for Warner Bros. Discovery to lose $300–500 million in a year?
What I’m hearing is, “I’m really upset with my face right now, so let me cut off my nose!”
To be clear, it would cost WBD far less to pay writers a fair wage than they’ll lose this year. According to IndieWire, of the $429 million a year it would cost the AMPTP to meet the demands of the WGA, WBD would be on the hook for about $47 million. On the low end, that’s a $253 million difference in 2023 and $453 million on the high end.
But yeah, it’s the writers who are the real problem. 🙄
It must be nice to lose that much money and not have to worry about also losing your job. I don’t know what WBD CEO David “I’m Super Good at Business” Zaslav has done to make his position so secure, but if anyone else in the world lost their company that much money, they’d never work in their industry again. Instead, these overpaid ghouls keep failing upward while the writers are increasingly unsure if they’ll have homes and food to rely on soon.
Make no mistake—it’s not “Hollywood” that’s the issue here. The blame for these strikes rests 100% on the shoulders of inept executives like Zaslav.