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Institutional Shareholder Services (ISS), a prominent advisory firm, has recommended that investors back the acquisition of\u00a0Warner Bros. Discovery<\/strong> by\u00a0Paramount Skydance<\/strong>, while opposing the proposed golden parachute for executives.<\/p>\n According to the proposal, executives are set to receive\u00a0a total of $1.35 billion\u00a0post-acquisition. This includes an \u201cextraordinary golden parachute\u201d valued at $886.8 million for Warner Bros. CEO\u00a0David Zaslav<\/strong>\u00a0and $466.2 million for other executives.\u00a0ISS contends that such a payout is unjustified.<\/p>\n ISS also raised concerns over an estimated \u201cexcise tax grossup\u201d\u00a0of $335 million for Zaslav, which he would receive solely due to the deal\u2019s execution. The future role of Zaslav in the merged entity remains unclear.<\/p>\n Don’t Miss:<\/strong><\/p>\n Zaslav’s golden parachute, among the largest on record, may be reduced depending on when the merger closes. The payout also factors in a 20% extra tax imposed by the IRS on executives earning more than three times their average compensation.<\/p>\n ISS highlighted that the\u00a0other Warner Bros. executives are\u00a0not receiving an excise tax. The majority of Zaslav\u2019s parachute payment results from single-trigger benefits, which accelerate vesting based on a single event, such as a change in company ownership.<\/p>\n This development comes on the heels of a March regulatory filing, stating that Zaslav is set for a massive payday exceeding $600 million following the Warner Bros. and Paramount Skydance acquisition deal. His compensation package included cash severance, vested stock, and a large portion of unvested share awards, along with potential tax reimbursements worth up to $335 million.<\/p>\n Trending:\u00a0Avoid the #1 Investing Mistake: How Your \u2018Safe’ Holdings Could Be Costing You Big Time<\/em><\/strong><\/p>\n Earlier in March, Zaslav also sold 4 million shares worth about $114 million, cashing out part of his stake amid the Paramount deal. The shares were earned as compensation between January 2023 and February 2026.<\/p>\n Warner Bros. said no excise tax would apply to David Zaslav if the deal closes in 2027, but Paramount Skydance, and Warner Bros. aim to complete the merger by September 2026.<\/p>\n