Paramount Skydance is in advanced settlement discussions with California Attorney General Rob Bonta over the antitrust challenge to its proposed acquisition of Warner Bros. Discovery, though no final agreement has been reached. Proposed terms include a $1.5 billion California production investment, commitments to retain studio lots in the state, cable-network divestitures and a requirement to release at least 30 films theatrically each year. Paramount would pay $30 million for every release below that threshold and could be required to sell its 49% Miramax stake if it misses the target. Twelve Democratic state attorneys general and the Writers Guild of America sued to block the deal, arguing it would concentrate control of film and cable television. Warner shareholders approved Paramount's revised bid in April, valuing the transaction at about $111 billion including debt, after a bidding contest with Netflix. Warner Bros. Discovery and Paramount Skydance shares rose 7% and 5%, respectively, on Monday.