Warner Bros. Discovery Will Take Up To $4.3 Billion In Restructuring Charges From Merger

deadline.com:

Warner Bros. Discovery will take a hit of between $1.3 billion and $1.6 billon in pre-tax restructuring charges for the third quarter ended in September as part of the ongoing merge of its operations, primary from content write-downs.

It said in an SEC filing it plans to complete its restructuring initiatives by the end of 2024 with total charges coming in between $3.2 and $4.3 billion.

That includes “strategic content programming assessments” leading to content and development write-offs of approximately $2 to $2.5 billion.

The charges, which also include organization restructuring, facility consolidation activities and other contract termination costs, is part of the merged company’s plan to achieve significant $3 billion cost synergies it promised Wall Street.