mr. redstone, mr. redstone had not removed mr. dauman as chairman and ceo of viacom. mr. der the point for a minute, but did not respond. and i did not pursue the issue. carl, that's where things stand. >> on the heels of the french open it's almost like the ball goes this way, you watch, you watch it that way. it's not going to end any time soon. >> no, and we're waiting for when the big move is made to replace that board and ceo. >> on that note we got about five and a half minutes until the opening bell. art cashin joins us here at post nine director of floor operations with ubs. >> good morning. >> are the feds whistling past the jobs number we got on friday? >> well, i think she's in kind of a difficult spot. i don't think she wants to write off the idea there might be a hike. everybody particularly stanley fisher is desperate to keep that up there. so they've got some of it. i think she's going to leave it as everything's a live meeting. if anything she may say we told you we're data dependent, so far the data's been not good. but if it gets better then we will go ah

mr. redstone to regain control of viacom and its management in disregard of mr. 's wishes and to undermine the current board's and to represent the best interests of all of the stockholders of viacom. with the support of the indeath penalty director os testify board, i am filing today a lawsuit in delaware county seeking an peks e dieded determination that ms. red stone's attempted removele and replacement of viacom directors is invalid. he said sadly it is now clear that mr. redstone is being manipulated and used by his daughter in an attempt to accomplish her long-held goal of gaining complete control of viacom. so it is heated obviously at this point mr. sa ler noe is basically blaining mrs. redstone and he's going to court to validate it. >> made for tv. >> we already have game of tloens. >> that's true. but it's not over yet. they're going to try to get that judgment as soon as possible, bill. >> thank you very much. anybody want to weigh in on it. >> it's heading to an endgame. it's interesting because i don't know where the burden of proof lies. do the curr

mr. redstone conducts all of his business in california. again, the main point, this is just the softening u. it was a week ago e was with you talking about the fact that manufacture of the board members at viacom were bracing for the possibility of being removed by mr. redstone. that hanls happened this week. but that doesn't mean it's not going to happen. and based on the reporting i've done, i expect it will happen in the not too distant future and much of this is targeting up, if you will, the target before they finally drop the big bomb. >> was going to ask. how is this expected to play out because right now you have this war of words and lawsuits and press releases and what have you between these two sides. >> i think what will happen is at some point we're going to get word that mr. redstone has replaced the directors of viacom that don't include himself and his daughter shari. that will be done by the lead directors going to delaware, petitioning that court where viacom, of course, is incorporated to issue a stay and say we're being

mr. redstone said he clearly expressed his feelings about the sale to mr. dauman and mr. his view they ignored his wishes." dauman is trying to speak loudly so sherry and sumner redstone can hear him. he can talk all he wants about the potential value of the deal but it appears based on the statements once it gets to the board level they're not going to vote in favor and it's unclear whether you get a buyer willing to engage in negotiations given that possibility. >> given the possibility it would be blocked. >> exactly. >> national amusements, redstone senior and sherry have the power to change unilaterally the bylaws of viacom without the rest of the viacom board -- >> that is correct. written consents to viacom that amended viacom's corporate bylaws effective immediately, that was june 6th when we first reported it. there has been no challenge, a lot of challenges on various things but none to this as of yet from vie extra com's board of directors which stands in opposition to the controlling shareholder for whom they serve. >> a company will ultimately have underlying

mr. redstone's lawyer filed a motion to dismiss the plaintiff's complaint in massachusetts.you recall, philippe dauman and george abrams arguing in a massachusetts probate court that mr. redstone is under the influence of his daughter shari and he's been removed and as director of national amusements because of undue influence and therefore should be undone. in a motion to dismiss, redstone's lawyers say things like this, you say he doesn't have the capacity any longer is not even at issue here because the trust provides that for all purposes they're under, sumner shall be deemed mentally incapacitated only if he's judged by a court of proper jurisdiction, the board of trustees, the trust we're talking, the certifications by three doctors. plaintiffs are not alleged that neath ore f these conditions have occurred. kelly, they're saying get this thing out of court. dismissed judge. we don't want to be dealing with this trust issue. of course, the other court that comes into play is in delaware infront of chancellor bouchard. we do not have a date yet as to when that will be m

mr. redstone's views including from a dr. spar. he was displeased, that's mr. redstone. mr. redstone said he clearly suppresses feelen. in his veal they ignore his wimpet. will it be enough to allow those actually negotiating right now will want to continue that with the yid individual. sumner red stoep and his daughter shari. >>> we've got minutes to go before the close. >> i'm trying to think which tragedy fits the bill. we're going to have the latest response to apple's revenue that aims to give them a bigger piece of the pie. >> also ahead, he's in the house, master chef eric. he's bringing us something to taste, i hope. are we lucky? back after this. real is touching a ray. amazing is moving like one. real is making new friends. amazing is getting this close. real is an animal rescue. amazing is over twenty-seven thousand of them. there is only one place where real and amazing live. seaworld. real. amazing in new york state, we believe tomorrow starts today. all across the state, the economy is growing, with creative new business incentives, the lowest taxes in decades,

mr. redstone and his daughter shari are in favor of, namely making changes at viacom.re any of this matters. >> i don't even think there's a corporate analog. i mean, i'm thinking about unita and lpa during the great angolan civil war. >> i don't know what you're thinking of. >> the government which you were supposed to salute to. i mean, honestly, i think you have to go to geopolitical to find something this insane. i mean, honestly, who did you serve for in angola? i don't think there's a government. >> yeah, people are searching for historical parallels. >> in south carolina in 1861. >> and as salacious as it is and as much as they go back and forth, we're talking about two very large important media companies whose future certainly in play here. >> you don't know what you're working for. you don't know who's in control. >> you don't. >> alexander hague, i'm in control here. maybe it's one of those situations. alexander hague. >> saturday night massacre. >> yes. >> something like that. >> yes. out. >> out. >> we'll get cramer's mad dash and count down to the opening

mr. redstone is mentally incompetent to make such a move. they had the lawsuit, from what i understand, locked and loaded was the word i heard from the viacom board members. what's interesting in this drama is philippe dauman is obviously the ceo, and sumner wants him out. a guy named fred solerno one of the five he wants out. these are independent board members. i will tell you this, this story is not over today. there's going to be a lawsuit, there's going to be an injunction or they're going to seek to join this move and we're going to be talking about this for a long time. this is -- let's put it this way, in terms of corporate governance, they're going to say sumner redstone is just not competent, mentally competent enough to run this company. liz: the market loss of this news, the stock steadily jumped up 5.63%. by the way, it looks like a done deal here because it says removed. he has removed these people. >> let me just be clear. this is what we reported a couple weeks ago. they have a locked and loaded lawsuit in delaware court whic

mr. redstone is being manipulated and used by his daughter. s a plot by shaarei redstone to take over the country. as for dauman no comment. eight months ago he had his 10-year contract extended through 2018. sumner redstone called him an extraordinary ceo giving him $17 million in stock awards at the time. his total compensation over the last four years has been 4d 25 million. the more this showdown rachets up, the more investors improve. shares up 14% in the last monday. by the way, there is a clause in dauman's contract saying if he is fired early without good reason he can be compensated as much as three times his annual salary and bonus. so tens of millions of dollars. melissa. >> quite a parachute. jane, thank you. >>> yesterday we spoke exclusively with voi com coe tom frese orrin who said a board shake-up was the key to saving viacom. he had choice words for the company and philippe dauman. >> they came in as a team and they can go out as a team if that happens. the board needs to be replaced, bring people from entertainment business, p

mr. redstone is no longer capable of making decisions over the trust and his holdings and have accused hister of manipulating her father. in an interview with melissa lee, former viacom ceo tom preston spoke out. listen. >> the whole so opera of the redstone versus the women, all the lawsuits i think has really been a side show compared to the real story, which has been the fall of viacom from grace essentially over the last bunch of years, the last several years. s been oit's been one of the le networking television divisions and now it's plagued with all types of problems, including creative departures. >> mr. preston was ousted as the ceo of the company nearly a decade ago. viacom responded saying "the company is significantly bigger and has many more profits today than when the predecessor left in 2006." vo redstone obviously getting a lot of attention. clearly there is a problem here with the leadership. >> well, they mentioned when he left in 2006 at $40 a share, the stock is essentially where it was when that ceo left. so it hasn't actually in contrast to the other ones in the indus

mr. redstone. but so many legal can he questions here, it's fascinating, including nia as controlling shareholder, he's the controlling hair shoulder in national amusements but do they need instructions from their controlling shareholders to make the moves? is it an entity? is it a person? can its mental competency be judged? >> rare instances where if the ceo and his team take a big pay cut, the numbers would go up. >> it's amazing how much money media ceos are paid. >> isn't it outrageous? a little trickle down to the little people. >> i mean, the media is under attack by trump. they ought to attack how much these guys are paid. but they generated some good returns over time. >> some have. a lot of them have been as a result of buying back stock because of the cash flow nature of the businesses. they do get paid to a certain extent on those metrics. >> i think there's just a sense that this company could be run better than it is. >> there's a possibility of getting it together with cbs down the r

mr. redstone at 93 and so i'm going to be cautious in that respect, particularly in light of the other proceedings that are going on. the other proceedings, of course, are in massachusetts. so he is deferring at least at this point there. when i said both sides can claim victories, that's a positive, the idea he will at least consider mental competition, for the current board. but at the same time there is a motion to dismiss. he will continue to consider that as well. he did say he has some skepticism at that that motion to dismiss can be resolved on a clean motion, but he hasn't seen it yet, he doesn't know yet so he's not going to prejudge that issue. we'll see, guys. what does remain is you got a company that can't really do a lot right now and truly is seeing its business disturbed by the fact that many people who would make long-term decisions involving viacom don't want to do so, whether it's a buyer of 49% stake in paramount. by the way, on that potential sale on the 49% stake in paramount, i hear the price is a very large one but whether or not they'll be able to get there is very much un

mr. redstone is not competent to do so.cept of whether they would look to the competence of a shareholder some lawyers have told me is patently absurd. think about a future proxy case where you say, jim, you know, whatever it might be, some public company you're involved with. you've got a proxy case and say those shareholders that say about your shares that guy's not competent. delaware court is not going to be in position to review the competence necessarily. national amusements is a company with a board of directors, it's an operating company and it seems likely though we certainly can't prejudge, likely that they are going to say we're not ruling on anybody's competence here. this is your controlling shareholder. they tossed five members of your board. that's it. you're out. it becomes unclear what mr. solerno's director is really thinking here along with his lawyers, but we'll see. that's the new viacom board. it's the old one still in effect until we get the ruling from delaware. and then of course when they are seate

mr. redstone has that right. let's pivot a little bit. play out in your sort of -- >> i think at this point whether sumner or his daughter exercising his influence, philippe is out. he's done. he's over. and i think the irony here is all the confusion, all the lawsuits going back and forth stems from the fact that, you know, all the power rests with sumner himself, and the fact that the board is basically saying i don't believe you are who you are. i don't believe these letters are actually coming from you. we think they're coming from sheri so why don't you tell us face-to-face and then we'll -- >> some of the very same people who are criticizing whether he is acting of his own free will were those who defended his capacity -- >> not that long ago, right, when there was a lawsuit. >> four or five months ago. >> it's clear they're just defending their own self interest and not the shareholders' interest. even in some profiles in "vanity fair" and other obligations over the past few months, they've been defending redstone's competence when

mr. redstone's guiding person and shari redstone is that at this point. >>> apple reportedly plans to issue taiwan. for the first time, the aim, to raise a billion dollars. the planned offering will help apple secure solid partnerships with its partners. taiwan is home to its massive supply chain which includes iphone manufacturer fox con. >>> under armour cutting sales outlook citing sports authority's banks ruptcy and litigation. saying it will only realize a quarter of the revenue it had been expected to get from the retailer. checking on shares of under armour in the premarket, down 4.5%. >>> nike down-graded to equal weight from overweight at morgan stanley. price target being cut to $60. morgan stanley analysts argue the us apparel category is weakening. the stock is down by 3.3%. >> the analyst has been interesting in this space. i would say within the last six months he's put out two 50-page reports negative on under armour. he has been sort of negative on that name. now it's interesting to see he's turned a little bit more do yuri guess, on nike. the sports authority thing had noth

mr. miller, a private equity firm run by shari redstone, and he used to work for news corp..d media, particularly digital media, and that's the name we are hearing would be what has been termed to me as a fallback candidate. now, here's why. let's go through some of these banners i have here just so we can hit the news. many media executives from what we're hearing, i'm hearing this from senior people in the media industry, many are balking at replacing draw marne. they're being -- dauman. they're saying no way because the rift has gotten so nasty, and they really wouldn't be in control, as you know. shari -- liz: oh, that's key. >> and sumner to whatever extent he's in control, would be in control. what i'm hearing is that catsen burg has indicated he is not, not interested in the job. that's what he's indicating. now, does that change, can it change, can they woo him? yeah. i've seen it happen. hank paulson was wooed to become treasury secretary. liz: john miller ran nickelodeon -- >> let me just make this point -- yes. so katzen berg looks unlikely. here's where it gets in

and sumner redstone saying that he does not anything occurring with paramount, and mr. uman's comment s th comments this morning may be one way for him to at least communicate with sherry redstone, and sumner redstone, because it does not appear that there is any communication, whatsoever taking place with them, and saying, look at the value that we may bring to bear here, if you let us move ahead with the deal. in the change of the bylawmusem they they would rule against it, but they would approve it, and it does raise questions of the potential buyers of the 49% stake that mr. dauman has given details about would continue in the negotiation, guys, when it is likely that it would be stopped by the board of directors, and so very interesting and some real details here, and certainly trying to explain the benefits to viecome shaacom shareholders question if they can get to the finish line given the changes of the bylaws and of course what may be coming in terms of the open warfare. >> and the plot thickens, david. >> yes. >> and now, our eunice yoon is there in shanghai a

sumner redstone's larger shareholder mr. kcal for directors and ceo.opment. stock index futures this final day of the week. dow futures relatively high this morning. you are watching "fbn:am," your first look at morning markets and breaking news. dow futures just when i put point. we got again. ♪ this is your daughter. and she just got this. ooh boy. but, you've got hum. so you can set this. and if she drives like this, you can tell her to drive more like this. because you'll get this. you can even set boundaries for so if she should be here, but instead goes here, here, or here. you'll know. so don't worry, mom. because you put this, in here. hum by verizon. the technology designed to make your car smarter, safer and more connected. put some smarts in your car. ♪my wish for you ♪is that this life becomes all that you want it to♪ ♪your dreams stay big, your worries stay small♪ ♪you never need to carry more than you can hold♪ ♪and while you're out there gettin where you're gettin to♪ ♪and wants the same things too♪ ♪yeah, this is my wish nicole: breakin