Warner Bros Discovery says it overpaid for its TV networks by $9 billion

Core Viewpoint - Warner Bros. Discovery (WBD) is facing significant challenges following a $9 billion accounting writedown, indicating that its aging TV assets are overvalued, which has led to a decline in stock price by over 8% [2][3] Company Challenges - The merger between Discovery and the former Time Warner has been deemed unsuccessful, prompting discussions about breaking up the company [1] - WBD's CEO, David Zaslav, acknowledges the long-term decline of traditional TV networks like TNT, TBS, and TLC, which still generate profits but complicate strategic decisions [4] - The company has abandoned its initial breakup plan and is now considering selling smaller segments of the business, such as parts of its games business or a Polish broadcasting company [4] Market Reaction - The market has already reflected the company's struggles in its stock price, which has been in decline for over two years [3] - The recent accounting hit and the acknowledgment of asset devaluation have made WBD more attractive to potential buyers, as the company may be seen as more affordable [5]