King, CNN Near Deal on Contract Extension

CNN is close to signing a new four-year deal with its top-rated talk host, Larry King, but insiders on Tuesday dismissed news reports of a payout that would have him earning close to the record $15 million to $16 million annually that NBC just agreed to pay “Today” co-anchor Katie Couric.

People familiar with the situation said King is getting a raise, which will likely give him a salary of some $6 million to $7 million annually. That figure is roughly the total value of his current pay package, when perks and items such as stock options are added on, these people said. Those extras will add an undetermined amount to the salary portion of his new deal, but they don’t double it, unless the stock does exceedingly well, the knowledgeable people said.

CNN said only that “we expect to sign him soon.” The office of King’s agent, Jim Wiatt, president and co-chief executive officer at the William Morris Agency, referred calls to King’s CNN publicist, who said, “They’re close to a deal.” She said King wouldn’t comment.

King has a year or so to go on his current contract, but in the last few months he’s judiciously timed conspicuous lunches with rivals of CNN, such as Fox News Chairman Roger Ailes.

CNN in the last year has been attempting to remake itself in the face of intense competition, particularly from Fox News Channel, and can’t afford to lose King, who is one of its most recognizable faces and whose talk show is the mainstay of its night lineup.

One perk that King won’t get is unrestricted use of a private jet for his commutes between his home base in Los Angeles and the Washington and New York studios where he frequently works, something he had been seeking. One insider familiar with the deal said his new contract will likely give him access to a chartered plane twice a month.