Seagram Chief Tells Stockholders No One Yet Named at MCA : Hollywood: Edgar Bronfman Jr. also says company has no plans to write down Kevin Costner’s ‘Waterworld.’

MONTREAL —  Seagram Co. Chief Executive Edgar Bronfman Jr., facing his stockholders for the first time since the company agreed to buy 80% of MCA for $5.7 billion, said Wednesday that there has been no decision on who will run the entertainment giant, despite widespread anticipation throughout Hollywood that he will soon hire talent agent Michael S. Ovitz.

Except for his brief statement on the MCA management question, Bronfman shed no light on the subject that was most on the minds of shareholders and the media: whether Seagram plans to spend a fortune to lure Ovitz to MCA. Ovitz is chairman of Creative Artists Agency, where he has become one of Hollywood’s most powerful figures.

Separately, Bronfman, in his most detailed comments so far about MCA’s mega-budget film “Waterworld,” said Seagram has no plans to write down the futuristic Kevin Costner movie before it opens, despite earlier hints that such an action might be taken. He added that MCA’s former owner, Matsushita Electric Industrial, absorbed most of the costs of the movie, whose budget has soared to an estimated $180 million, making it the most expensive film in Hollywood history.

“I don’t believe in writing down pictures before they open,” Bronfman said in an interview. “I don’t believe that accountants should take a view on the likely success or not of any picture. Most companies don’t write down their pictures before they open, and I don’t see any reason to do that on ‘Waterworld’ or any other pictures.”

Bronfman praised an early version of the film that was screened for him. “It’s got some action sequences that are just breathtaking, really spectacular stuff,” he said.

Bronfman said Seagram won’t make any announcements related to MCA management before it formally buys the 80% stake from Matsushita, which is expected next week.

“No decision has been made with regard to management at MCA. It would be inappropriate to do so before we close the transaction,” Bronfman said.

Bronfman is known to want Ovitz to run MCA, according to sources, but whether a deal can be struck is uncertain. MCA President Sidney Sheinberg is on the verge of setting up a Seagram-financed production arm, and Chairman Lew Wasserman is expected to eventually leave as well.

Ovitz and CAA have consistently denied that negotiations are taking place. Still, even the most skeptical Hollywood executives now give it a better-than-even chance that he and Bronfman will reach a deal.

In the interview, Bronfman described in general terms the kind of Hollywood executive he admires.

“It’s a business built on relationships. It’s a business built on believing in people and the ability to manage people and encourage people. When you have got those skills and you can run a business as an executive, you are going to be highly compensated for that,” he said.

Asked to name a couple of people who fit that profile, Bronfman suggested there are several, but he specifically mentioned Warner Bros. co-Chairman Terry Semel and Paramount Pictures chief Sherry Lansing.

Bronfman and other Seagram directors received due diligence reports Wednesday on MCA’s financial condition and said the biggest surprise has been the strength of the company’s music business.