By Amol Sharma 

Sumner Redstone said Tuesday he has appointed three new stewards of his media holdings, after dismissing top associates from those duties last week.

Mr. Redstone named Jill Krutick, a former media executive and stock analyst, and Tad Jankowski, the general counsel of his holding company, National Amusements Inc., to the seven-member trust that will oversee the mogul's controlling stakes in Viacom Inc. and CBS Corp. when he dies or is deemed incapacitated.

Mr. Redstone also named Ms. Krutick and his oldest granddaughter, Kimberlee Ostheimer, to the board of National Amusements.

The changes, which were widely expected, were announced in a statement issued through Mike Lawrence, a new spokesman for Mr. Redstone.

The new appointees fill the slots that were occupied by Viacom Chief Executive Philippe Dauman and Viacom director George Abrams, who were informed by a lawyer for Mr. Redstone that they had been removed from the trust and the National Amusements board.

The two men challenged their removal in a lawsuit filed on Monday in a Massachusetts court. They alleged that Mr. Redstone's daughter, Shari Redstone, has manipulated her ailing father and orchestrated the changes as part of a campaign to gain control of his $40 billion media empire.

Ms. Redstone has denied those charges.

Mr. Redstone, who has suffered various health problems and has extreme difficulty communicating, turns 93 on Friday.

"This is my trust and my decision," Mr. Redstone said in the statement. "I have picked those who are loyal to me and removed those who are not."

Ms. Krutick was a senior vice president of investor relations and corporate development at Warner Music Group and spent 15 years as an equity analyst, including some time at Citigroup Inc., according to the statement released Tuesday.

Her second career is "as an abstract, impressionist artist."

People close to Viacom describe her as a close associate of Ms. Redstone.

"I met Sumner in 1994 when I was an equity analyst covering [large] entertainment companies," said Krutick in a statement. "We had a close working relationship over a 10-year period as Sumner exuberantly shared his views on Viacom with investors from around the globe, and I have continued my longtime relationship with the Redstone family."

Mr. Jankowski has worked for Mr. Redstone for 35 years, according to the statement. He met the mogul while he was at the Boston University School of Law, where he was Mr. Redstone's teaching assistant for a course on entertainment law. He went on to join National Amusements.

"I am honored that Sumner has chosen me as a trustee and am convinced that he did so knowing that I would be loyal to him and would work to accomplish the objectives of the Trust," Mr. Jankowski said in a statement.

Ms. Ostheimer is an attorney who worked at the Legal Aid Society before leaving to take care of her children. She is married to Jason Ostheimer, who is co-founder of the investment firm Advancit Capital along with Ms. Redstone.

"I look forward to contributing to the continued success of the company my family has built over the last 80 years," said Ms. Ostheimer.

In their complaint Monday, Messrs. Dauman and Abrams alleged that these appointees, whose selection was widely anticipated, would be under Ms. Redstone's control and "illegitimately tip the balance of power to her" when control of the Redstone media empire shifts to the trust.

They have also questioned whether the people issuing statements for Mr. Redstone truly represent him.

The trust, upon Mr. Redstone's death or incapacitation, will have the power to affect the makeup of the Viacom and CBS boards and decide on big strategic transactions like a sale or acquisition.

"Mr. Redstone is saddened that Mr. Dauman is trying to make this dispute about his daughter," Robert Kleiger, an attorney for Mr. Redstone, said in a statement Monday. "It is about Mr. Redstone's right to have the individuals he wants and trusts managing his assets upon his death, and protecting the financial interests of his grandchildren."

Write to Amol Sharma at amol.sharma@wsj.com

 

(END) Dow Jones Newswires

May 25, 2016 02:49 ET (06:49 GMT)

Copyright (c) 2016 Dow Jones & Company, Inc.
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