Is out, but john, mike, and me, post nine for the hour as the dows trying to repair early damage down about 30 points right now. The big story though, some of the redstone coming out on the battle for viacom. Sources tell us the deal is in place bringing to an end nine months of legal battles. Sumer in and his daughter are coming out on top. The settlement posted three lawsuits under way without putting to test the mental competency which has been called into question. The sources tell us viacoms ceo will step down immediately and coo tom dually will become interim through the end of september. He is not exactly losing. Hell receive a 72 million severance package, and thats on top of 491 million hes brought home in compensation from his past decade at viacom. Now he is among the most highly paid ceos despite the fact that viacom vastly underperformed the s p 500 and sumer in red media giant cbs. He has until he steps down as executive chairman on september 13th to prevent his proposal to sell 49 of paramount to the board, a plan that somewhere near redstone has vehemently patrol posed. Whats next now . This agreement will help remove some uncertainty thats been hanging over, but the pressure is on now for the company to find a new ceo since tom dually has been the right hand. Joined viacoms board back in 2006. They have been speculated about as an ideal choice, renewing speculation and viacom potentially recombining with cbs. The sources tell us lawyers are working out the final details of the deal, which is made in principle last night. We also expect an 8k to be filed some time this afternoon that might include some more details, carl. Julia, thank you for that. Were going to turn to ricohs executive editor who joins us on the phone, guilty or not guilty to you. Good morning. S. Id love youle to discuss some of the management dynamics, dually and theyve been a package deal for so long. How can one leave and the other remain . Because chaos happens all the time on wall street for those that dont perform, carl. If youve watched all the different deals to get rid of people essentially. This is typical. If i was a shareholder, id be furious. This is the cost doing business. And people who underperform get paid, i dont know, 72 million for underperforming and more than that because he was paid hundreds of millions for the year and badly managing viacom. And its not unique to the east coast, we remember castro at yahoo yep. Got in an exit package thats not too bad. Given the environment in 2016, certain populist i wonder if theres, i dont know if its a different lesson weve seen in the past. These payouts for performance thats best questionable and happening for quite a while, right . Yeah, but why do they keep happening, its ridiculous. You dont need a more perfect example of the rate thats happening across the country and whether or not its correct or not. Its still you see numbers like this, and someone who underperforms for a decade getting paid, you know, 600 million. Its just, you know, he says id like that deal. I wouldnt like that deal. I wouldnt like to be paid for stinking up the joint, but thats just me. Kara, once shareholders swallow the fact that he is being paid this much to leave, but at least we have resolution, right . We have some i guess. The hostilities, now what . Whats job number one strategically for the interim ceo an the eventual fulltime ceo to try to get things figured out . Oh, all kinds of things. This companys been underperforming for years, meanwhile the equal company at cbs are doing great because theres a ceo whose been outperformin people think, as julia says, theyll combine it or run it parately. Hell be a coat, ceo, with two companies. And, and well see from there. All Media Companies are under huge lenge. Here they are playing the ridiculous board room games, and meanwhile, other companies are moving into their area. And so they really have to move quickly because media stocks are troubled, as they have been, and theres all kinds of challenges, and so someone needs to be focussing on these challenges. The real problem is thousand manage a Media Company in the 21st century. That said, looking at year i mean, i know the markets up for the year, cara, thereve been buyers of the Media Companies considering them wellpriced, is that misguided . No, i mean, they are. Theyre really interesting assets. Theres all kinds of obviously theres always a price for something, but heres the company for ten years, that could have been really dominant position of buying. I just find it i shouldnt get so offended and im not surprised. I wish i would be surprised, but directors of companies would not allow this to happen. Theres been this trend it seems to me of Media Companies either trying to bulk up in general and join up with other Media Companies or vertically integrate and take some advantage of distribution that way. Given viacoms history, trying to appeal to kids and young people, the ones getting stripped away, especially quickly by the likes of snapchat and instagram and others, which or some other advocate perhaps makes the most sense for viacom do you think at this point and you can figure out the right strategy. I think theyll unite with cbs. I think thatll be the first move. And then well see from there. I mean, theres a lot of very big buyers, and tamts, theres only so big as these things can get. I dont know which company would buy it. Steep price to buy a company. I suspect its an indication with the existing properties under this umbrella of national easements. And then well see what sherry redstone, emerged victory here after being on the outs for so long does with it. Finally cara, a lot of discussion about we talk about the Media Companies having trouble going after younger audiences, this week also brought the end of pivot tv and the end of the New York Times now app. Even those that are specifically targeted for those audiences are having tough sledding. Well, theyre just not good products. Thats okay. Good for you. You know what i mean, they tried them and they didnt work. Youre going to see that over and over again, and that says snapchats working, a lot of stuff is working. Well see where it goes. Its working and being met with interest from young people. I mean, you know, im not trying to be insulting, but somebody dumber could figure out if the that his life depended on and didnt. His life figured out on it. I think some of these things arent going to work. New york times now app its hard to do mobile apps. Its very difficult. I dont know, its a difficult thing. And i used the New York Times app. New york times now app was inadequate for a long of peoples uses. I used it and i didnt like it. Before go, cara, you did an interview with the harold. The headline, why is Silicon Valley afraid of a kara swisher . Thats familiar. You went into the themes youve repeated in the past and that is this ongoing worship of the socalled tech titan, didnt you . Yeah, exactly. Its the same thing. And sometimes all this is going to happen for them. It already is. You were talking about castro getting 100 billion for not performing, you know, a big package for not performing. Theres a lot of stuff that you have to really watch out for and we should be watching performance and how people do. And not everythings going to work, obviously. But you know, doing victory laps when you had not a success is something thats starting to emerge. And so, you know, the meme, i dont think anyones scared of me. I think its getting to australia, that particular meme. You know, theyre not fearful, theyre not fearful, but they just said, hey, this sells for this, its not a victory, im sorry, i dont think thats scary, its truthful. Its scary to people, its scary. I dont know why it would be. We didnt even touch gawker today gawker, oh sad, sad. In the days to come. Good weekend, well talk to you soon. Thanks, carl. Kara swisher. We to want check on the markets right now. The dow is up off its lows, up about 100 points earlier. Modest losses about 0. 2 . Nasdaq looking to put in another positive week which would billion its longest since 2010 if it did so is up marginally. Foot locker moving higher after earnings beat estimates. Retailer saw better than expected 4. 7 increase in samestore sales. And shares are also moving on earnings, seeing a nice game after those profits top expectations, a company also raised its full year profit forecast. See the stock up more than 8 right now, almost 9 . When we come back, National Finance chair for mitt romneys Campaign Says hes now voting for Hillary Clinton. Were going to take a closer look at the resignation of paul manafort. Plus moving higher on beating earnings. Raising the guidance, c going to join us in a cnbc exclusive and live to rio for the latest on the ryan lochte story in squawk alley comes back in a moment. Theres a lot of places you never want to see 7. 95. [ beep ] but youll be glad to see it here. Fidelity where smarter investors will always be. If only the signs were as obvious when you trade. Fidelitys active trader pro can help you find smarter entry and exit points and can help protect your potential profits. Fidelity where smarter investors will always be. Got a quarter . Paul manafort resigning as the chairman of Donald Trumps president ial campaign as trump visits baton rouge today. We are live in washington with the latest. Yeah, carl, thats right, big moment of change here for the Trump Campaign. Donald trump himself on the ground in baton rouge just within the past hour. He is touring flood damage there and republicans want to make the point that presint barack obama, who is on vacation, is not paying enough attention to whats going on in louisiana. Ian as that is happening, news that paul manafort, the campaign manager, is out. Here is the statement from donald trump on his campaign manager, i am very appreciative for his great work in helping to get us where we are today, and in particular, his work guiding us through the delegate and convention process. Meanwhile, the Trump Campaign really starting to try to act like an oldfashioned, traditional president ial campaign now. Airing Television Ads in a number of states. Heres the ad that donald trump is putting up in four states, this ad hitting Hillary Clinton pretty hard. Take a look. In Hillary Clintons america, the system stays rigged against americans. Syrian refugees flood in, Illegal Immigrants convicted of committing crimes get to stay contrast between Hillary Clintons america and Donald Trumps america. Now look at the contrast between Hillary Clintons ad spending and Donald Trumps ad spending, by comparison, state by state, what youre seeing, florida, ohio, pennsylvania, and north carolina, all big spens here by donald trump, but then look at that column for Hillary Clinton, and you see that she is spending more in florida, more in ohio, more in pennsylvania, and more in north carolina. Grand total, 5 million for clinton, 3 million for donald trump. So the Clinton Campaign has a lot of money. They are used to being a president ial campaign, well see if Donald TrumpsWhose Campaign so far has been about twitter, television attention, media frenzy, and big rallies. If he can make the script to more televisionpaid advertising mode going all the way to november 8th or its just a blip and hell go back to being donald trump before too long. Were going to be watching those handful of states, thank you very much. Staying on the campaign trail, former mitt romney business associate and romney president ial Campaign Staffer david pending an oped on cnbc. Com this morning. Its titled, ive been a republican since 1980, but im voting for Hillary Clinton from the column. Trump is the most dangerous major Party President ial in my lifetime. Joining thus morning is the investment manager, founder of president of the campaign, thank you. Thank you and good morning. Im trying to decide whether to be surprised giving the speech romney made months ago now. Has this decision been a long time in the making . Its been a hard decision to make because as you said, i have pretty consistently voted republican for president since 1980 and i spent six years volunteering as a fundraiser for mitt. So its not something you do easily. But, ive thought about it the, i thought about it as a father of three adult children, ive thought about it as a citizen of the United States first. And as a republican second. And i think its the right thing to do. This time. What do you say to those that argue that the policy are closer to their political heart and they can tolerate the behavioral issues that they have trouble with, whats wrong with that . Well, i think the issue is really about temperament, personality, and character, more than anything. We are electing the most powerful person in the world. My children are god willing, going to live until well into this century and god willing theyll have children too. I have to think about things like that. I have to think about as Jennifer Garner says, whats in your wallet . You look in your wallet, and you see money with heads of george washington, abe lincoln, you look in your pocket, thomas jefferson, and you see fdr, and if you look at mt. Rushmore, you see teddy roosevelt. I dont see donald trump on the money. I dont see him on the coins. I dont see him on mt. Rushmore. I dont think he has a president ial personality, i dont think hes fit to govern, and to me, that is the most important thing. I spent 38 years knowing mitt. I think i know what a president ial character looks like. Maybe you can explain the prague in atism in your politics. Excuse me if im reading this wrong, it seems like up until about nine, ten years ago,out mostly donated to democrats not to republicans when you look overall at local contributions as well. So, you know, your politics seem to be a little bit more sin tryst than people might expect from someone whos voted republican for president since 1980 as you say. The most important thing for me is to pick the right person for the job. Youre exactly right. Usually that has meant for me since 1980, voting republican at the president ial level. Move down the ticket, you make your choices all the wait down. This. Year in fact, one of the things that i think is kind of unfortunate is that so many people in the Business Community seem turned off by trump, that may may not be voting for republicans down the line. And that would be unfortunate because i think there are some real benefits to having branches of government in the hands of Different Party zblns david, of course well hear from viewers who argue just because you decide that trump is not fit does not mean that clinton is. So what possible proclinton argument can you make . Im comparing the personalities in terms of stability, decency, compassion, inclusion, as opposed to namecalling, scapegoating, victimizing. When trump says that a legitimate American Hero like john mccain is not a hero, when he comes down on the gold star parents, when he comes down on people who are different in terms of ethnicity or religion, those are not things that Hillary Clinton does. Those are not president ial things. So there are huge differences. A president has to be a leader, just like a ceo has to be a leader, they have to build a team, lincoln built a team of rivals from his rivals from the president ial campaign and governed wisely and well. I think hillary has the teambuilding capability, the toleration for diversity and disagreement that donald trump has not shone. Even todays news about the latest turnover. Its always something. Its always something with the Trump Campaign. Every day, theres a new insult, theres a new change, theres a new 180. That is not stability. That is not president ial. And are you prepared to spend the next four years wondering if your judgment was right on benghazi, or email servers, on the Clinton Global Initiative . We are always looking over our shoulders. And we are always thinking about that. One thing i would say in response to that question, is that i think bill clinton was a moderate person in his views. He did what he called drink angulation, i think Hillary Clinton will do the same thing. I am simply more comfortable with her experience, her temper meant, hero ability to hit the ground running than an erratic and ungovernable personality who feels to me more like a Game Show Host than a president. The job of a Game Show Host is to entertain. The job of a president is to govern. Those are two completely different things. And so far, looks like about 60 of americans agree with me. Final question before i let you go, david. Percentage likelihood that romney himself follows your view. Mitt is has been making some positive comments that ive heard about gary johnson and bill weld on the libertarian ticket. Im also hearing theres a man named evan mullen who is going to be running in ten or 11 states. I dont think that mitt is going to vote for a democrat, but i also am pretty sure hes not going to vote for trump. He will pick one of the two alternatives and who knows. Utah may be in play for the First Time Since 1964 and nevada may be in play too. David, we appreciate your time and of course direct viewers to your oped on cnbc. Com. Thanks so much. Have a good weekend, thank you. Thanks. And up next, the latest on the ryan lochte saga. Were live in rio in just a moment. So we can share our amazing trading knowledge. Thats a great idea, but why dont