Viacom Says President Sold 700,000 Shares

Viacom Inc. said President Mel Karmazin sold 700,000 of the company’s Class B shares, his first stock sale since joining the third-largest media company last year.

Karmazin owned 4.46 million shares as of April and has options to buy 5 million more, according to a recent filing with the Securities and Exchange Commission.

Karmazin’s share sale could be taken by investors to indicate further pessimism about the profit outlook for Viacom, an analyst said.

Viacom spokesman Carl Folta declined to comment on why or when Karmazin sold the shares.

Viacom’s Class B shares, which have dropped 29% in the past year, fell $1.29 to $50.60. At that closing price, the shares Karmazin sold would have been worth $35.4 million.

He notified the Securities and Exchange Commission of his intention to sell Thursday, according to Washington Service, which tracks stock transactions by company insiders.