CBS Revisits the Late Show

On Thursday, CBS (NYSE:CBS) confirmed that it is in negotiations with Letterman and Craig Ferguson of The Late Late Show to maintain their roles on the network’s late-night schedule.

In a statement, CBS said, “As would be expected at this time, we’re having conversations with both Dave and Craig about future years. There are no further details to announce at this time.”

A joke Letterman made to guest Howard Stern in February about planning to retire in “maybe two years” sparked rumors, but the following day, Worldwide Pants CEO Rob Burnett, the show’s executive producer, said the comment was just an “off-the-cuff” remark. He pointed out that in 1987 Letterman had made a similar comment and had no plans to retire in the near future.

Here’s how CBS shares are reacting to the news:

CBS Corporation (NYSE:CBS): CBS shares recently traded at $27.62, down $0.46, or 1.64%. They have traded in a 52-week range of $17.99 to $29.68. Volume today was 947,788 shares versus a 3-month average volume of 7,583,270 shares. The company’s trailing P/E is 15.71, while trailing earnings are $1.76 per share.

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